The spot rate is currently testing the intermediate resistance of its medium term bearish channel at 1.3200 suggesting a decline. However a break of these levels will allow it to reach the upper limit of its channel at 1.3320.
Technical indicators do not provide clear signals but until that the resistance is not broken the assumption of a decline is most likely. 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 will provide a bullish opportunity as soon as the spot rate has broken its resistance at 1.3200 with the 1st objective of 1.3260 and then of 1.3290. A break through 1.3180 will invalidate this scenario.
The material has been provided by Instaforex Company - instaforex.com
