The pair tested the historical resistance of 1.1811 (blue dotted line) on Monday then went down to the retracement level of 14.6% at 1.1788 (red dotted line), closing the daily candle at 1.1795. Today, the price may continue to move up. Based on the economic calendar, news is expected at 07:55 and 09:00 UTC (euro) and 14:00 UTC (dollar).
Trend analysis (Fig. 1).
The market may continue to move upward from the level of 1.1795 (closing of yesterday's daily candlestick) with the target of 1.1851 - a 76.4% retracement level (blue dotted line). Upon testing this level, the price may continue to move upward with the target at 1.1873 - the 85.6% retracement level (blue dashed line).
Fig. 1 (Daily chart).
Comprehensive analysis:
- Indicator analysis - up;
- Fibonacci levels - up;
- Volumes - up;
- Candlestick analysis - up;
- Trend analysis - up;
- Bollinger lines - up;
- Weekly chart - up.
General conclusion:
Today the price may continue to move upward from the level of 1.1795 (closing of yesterday's daily candlestick) with the target of 1.1851 - the 76.4% retracement level (blue dashed line). Upon testing this level, the price may continue to move upward with the target at 1.1873 - the 85.6% retracement level (blue dashed line).
Alternative scenario: the price may continue to move upward from the level of 1.1795 (closing of yesterday's daily candlestick) with the target at 1.1851 - the 76.4% retracement level (blue dashed line). Upon testing this line, the price may begin to move downwards with the target of 1.1807 - the 14.6% retracement level (yellow dashed line).
