The pair moved down on Tuesday but failed to reach the target of 1.3479 - the support level of the descending channel (yellow bold line), closing the daily candle at 1.3533. Today, the market may continue to move down. News is expected at 14:00, 14:30, 16:45 UTC (dollar), and at 15:45 UTC (pound).
Trend analysis (Fig. 1).
The market may move down from the level of 1.3533 (closing of yesterday's daily candle) with the target of 1.3475 - the support level of the descending channel (yellow bold line). In the case of testing this level, the price may move upward with the target of 1.3539 - the 14.6% retracement level (yellow dashed line). Much will depend on the news that comes out at 15:45 UTC.
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 move down from the level of 1.3533 (closing of yesterday's daily candlestick) with the target of 1.3475 - the support level of the descending channel (yellow bold line). In the case of testing this level, the price may move upward with the target of 1.3539 - the 14.6% retracement level (yellow dashed line).
Unlikely scenario: from the level of 1.3533 (closing of yesterday's daily candle), the price may move downward with the target of 1.3475 - the support level of the descending channel (yellow bold line). In the case of testing this level, the price may continue to move down with the target of 1.3408 - the 161.8 % target level (blue dotted line).
