The spot rate broke the lower limit of its medium term bullish channel at 1.3290 leading to acceleration. A pull back at these levels is expected before a resumption of bearish sentiment and this will free a large potential.
Technical indicators provides sell-signals but approaching the oversell zone supporting the assumptions of a pull back. Bollinger bands are much discarded as a result of the strong decline of these days. Stabilization is expected in the short term.
According to previous events, the market indicates a bearish opportunity at the levels of 1.3290 with the 1st objective of 1.3220, then 1.3200. A break though 1.3310 will invalidate this scenario.
