On the daily chart, the pair broke down its trendline and is currently trading below the lower MA of Bollinger Bands. The price remains below its moving averages that turned down. The RSI is about to leave the oversold zone. The Composite is turning up as well. MA’s for both indicators suggest a weakness of the market.
On the 4-hour chart, the pair is correcting up after it broke down the lower MA of Bollinger Bands. The price remains below its moving averages that are directed down. The RSI is about to test its longer MA, while the Composite broke out its MA’s and growing.
Support levels: 0.9693 (local lows), 0.9619 (active trade), 0.9555 (October 2015 lows).
Resistance levels: 0.9797 (December lows), 0.9873 (local highs), 0.9954 (trendline).
Short positions can be opened from the level of 0.9688 with the target at 0.9620 and stop-loss at 0.9712. Validity – 1-2 days.
Long positions can be opened from the level of 0.9883 with the target at 0.9950 and stop-loss at 0.9862. Validity – 2-3 days.