Technical outlook and chart setups:
As depicted here, the single currency pair is testing 0.618 fibonacci resistance around 1.4220/40. This region is also re-enforced by past resistance turned support of the recent downswing. At the moment immediate resistance is at 1.4350/60, followed by 1.44 and 1.4480; while support is fixed at 1.4030 and 1.4 respectively. It is still recommended to continue holding short positions initiated yesterday and also add further if possible. Furthermore, the downward sloping line of resistance also remains intact for now, which re-enforces our view to remain bearish with downside targets towards 1.38 and 1.37 in the coming days. Please also note that the key resistance that should decide major trend movement still remains at 1.4530. Remain short for now.
Trading recommendations:
Continue holding short positions for now, stop is at 1.4350/60, and target is below 1.4.
Good luck!
