The pair moved down on Tuesday, and tested the 21-day EMA at 1.3770 (black dotted line), then rolled back up, closing the daily candle at 1.3781. Today, the price may move down. News is expected at 14:00 UTC (dollar), and 15:00 UTC (pound).
Trend analysis (Fig. 1).
The market may continue to move down from the level of 1.3781 (closing of Tuesday's daily candle) with the target at 1.3745 - the 50.0% retracement level (yellow dashed line). In the case of testing this level, an upward pullback is possible with the target of 1.3790 - the 50.0% retracement level (blue dashed line).
Fig. 1 (Daily chart)
Comprehensive analysis:
- Indicator analysis - down;
- Fibonacci levels - down;
- Volumes - down;
- Candlestick analysis - down;
- Trend analysis - down;
- Weekly chart - down;
- Bollinger lines - down.
General conclusion:
Today, the price may continue to move down from the level of 1.3781 (closing of Tuesday's daily candle) with the target at 1.3745 - the 50.0% retracement level (yellow dashed line). In the case of testing this level, an upward pullback is possible with the target of 1.3790 - the 50.0% retracement level (blue dashed line).
Alternative scenario: from the level of 1.3781 (closing of Tuesday's daily candle), the price may move down with the target at 1.3745 - the 50.0% retracement level (yellow dashed line). In the case of testing this level, the downward movement may continue with the target of 1.3711 - the 61.8% retracement level (yellow dashed line).
