The pair moved down in the side channel on Thursday and was not able to reach the pullback level of 61.8% which is equivalent to 1.1081 presented in a red dotted line. Strong calendar news for the dollar is expected today at 13:30 UTC. Before the news, the side channel is possible then afterward a continuation to work down.
Trend analysis (Fig. 1).
The price may move down today to the support line of the upward trend 1.1078 presented in a white bold line. Upon reaching this line, the market may begin to move up, with the first goal of 1.1101, the retracement level of 14.6% presented in a blue dashed line. If this level is achieved, the next goal 1.1116 is a retracement level of 23.6% presented in a blue dashed line.
Fig. 1 (daily chart).
Comprehensive analysis:
– Indicator analysis – down;
– Fibonacci levels – down;
– Volumes – up;
– Candlestick analysis – up;
– Trend analysis – up;
– Bollinger Lines – up;
– Weekly schedule – up.
General conclusion:
A downward trend is possible today.
An unlikely scenario is from the level of 1.1108, yesterday’s closing candle, the price will go up to the pullback level of 38.2% which is at 1.1142 presented in a red dotted line.
The material has been provided by InstaForex Company – www.instaforex.com
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