The spot rate is currently testing the lower limit of its medium term bearish channel at 105.10 suggesting a rebound. However, a break through this level will trigger a decline and initiate bearish trend more violent.
Technical indicators provide buy-signals and until the support is not broken the assumption of a rebound is most likely. Bollinger bands are much discarded as a result of a strong decline these days. Stabilization is expected in a short term.
According to previous events the market will provide a bullish opportunity at the level of 105.10 with the 1st objective at 105.70 and then at 105.90. A break through 104.90 will alter this scenario.
The material has been provided by Instaforex Company - instaforex.com
