Three months ago, a prominent bottom was established around 1.0260. This happened after the pair broke down a consolidation range between 1.0450-1.0560, which was followed by intensive bearish pressure that led to 1.0254.
An important key level was located around 1.0505. This was the key level for the last week's movement as the re-closure below it enabled the pair to break down 1.0455 as well, where the lower limit of the depicted consolidation range was located.
The nearest support zone is located around 1.0250. On September 19, the pair expressed a false breakdown reaching 1.0180 where obvious bullish rejection was expressed to get the pair back above 1.0250 again on Thursday resulting in a bullish hammer Weekly candlestick. Since then, the pair has been consolidating within 70 pips range between 1.0260-1.0340.
The current levels will probably push the pair again towards 1.0450. The price zone of 1.0265-1.0250 remains defended by the bulls. This is enhanced by the inside weekly bar expressed last week as long as its low at 1.0270 remains solid as a weekly low.
The price level around 1.0465 remains the nearest considerable resistance for the pair, a valid SELL entry is recommended at retesting with SL located above 1.0500.
