The pair traded downwards on Tuesday and broke through the level of 1.0874 - a 50% pullback level (presented in a red dashed line) then proceeded downwards testing the level of 1.0840 - a 61.8% pullback level (presented in a red dashed line). Today, the downward movement may continue. Economic calendar news for the dollar is expected at 12:15 and 14:30 UTC.
Trend analysis (Fig. 1).
Today, the downward trend may continue from the level of - 1.0843 (closing of yesterday's candle) with the target of 1.0797 - a 76.4% retracement level (presented in a red dashed line), followed by a breakdown of this level downwards. It is very likely that from this level, the price may continue to move downwards with the target of 1.0771 - an 85.4% pullback level (presented in a red dashed line).
Fig. 1 (daily chart).
Comprehensive analysis:
- Indicator analysis - down;
- Fibonacci levels - down;
- Volumes - down;
- Candlestick analysis - down;
- Trend analysis - down;
- Bollinger lines - down;
- Weekly schedule - down.
General conclusion:
Today, the price may continue to move downwards with the target of 1.0797 - a 76.4% retracement level (presented in a red dashed line).
Another possible scenario is a bullish trend from the level of 1.0797 - a 74.6% retracement level (presented in a red dashed line) with a target at 1.0861 - a 50% retracement level (presented in a blue dashed line).
