The spot rate is currently testing the lower limit of its medium term bullish channel at 1.5880 suggesting a rebound. However a break of these levels will free a large potential and start a bearish channel.
Technical indicators provide buy-signals and evolve in oversell zone supporting the assumption of a rebound. 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 bullish opportunity at the levels of 1.5880 with the 1st objective of 1.5940, then 1.5960. A break through 1.5860 will invalidate this scenario.
