The pair continued to trade upward on Tuesday, almost testing the retracement level of 76.4% at 1.1851 (blue dotted line), then the price rolled back down after the news, closing the daily (white) candlestick at 1.1808. Today, the market may continue to move upward after a slight downward rollback. Also, based on the economic calendar, news is expected at 07:55 UTC (euro), and at 12:15, 14:00, 14:30 UTC (dollar).
Trend analysis (Fig. 1).
The market may begin to move down from the level of 1.1808 (closing of yesterday's daily candle) with the target at 1.1802 - the 23.6% retracement level (red dotted line). When testing this level, it is possible to move up with the target at 1.1845 - the upper fractal (red dotted line). Upon reaching this level, the upward movement may continue.
Fig. 1 (Daily chart).
Comprehensive analysis:
- Indicator analysis - up;
- Fibonacci levels - up;
- Volumes - up;
- Candlestick analysis - down;
- Trend analysis - up;
- Bollinger lines - up;
- Weekly chart - up.
General conclusion:
Today, the price may begin to move down from the level of 1.1808 (closing of yesterday's daily candle) with the target of 1.1802 - the 23.6% retracement level (red dotted line). When testing this level, it is possible to move up with the target at 1.1845 - the upper fractal (red dotted line). Upon reaching this level, the upward movement may continue.
Alternative scenario: from the level of 1.1808 (closing of yesterday's daily candle), the price may begin to move down with the target at 1.1775 - the 38.2% retracement level (red dotted line). When testing this level, it is possible to continue the upward movement with the target at 1.1787 - the 50.0% retracement level (blue dashed line).
