Overview:
The price is probably going to form a strong support at 0.9340 (below 38.2% of Fibonacci retracement levels on the H1 chart). It has formed the last bearish wave for the last three weeks and the level of 0.9340 acts as a strong support. The saturation is likely to take place around 0.9320 because this level also forms the first strong support for May 3, 2013. Therefore, it is possible that the market will start showing bullish signs. The daily support is set at the level of 0.9356. In other words, buy deals are recommended above 0.9320/0.9340 with the first target seen at the 0.9390 level and further at the 0.9430 level. Thus, it should be noted that the level of 0.9440 is a strong resistance (Note: support had become resistance as well as the ratio 78% of Fibonacci equals 0.9443).
Intraday technical levels:
R3: 0.9496
R2: 0.9466
R1: 0.9426
PP: 0.9396
S1: 0.9356
S2: 0.9326
S3: 0.9286
Note:
Range: 70pips. A risk to reward ratio of 1:1.5 is recammended. Risk of 70 pips must make a profit of 105.00.
If you have any questions or requests, please feel free to contact me: mourad.elkeddani@analytics.instaforex.com.
