The pair has achieved mild downside movements due to the negativity on Stochastic but stability above 61.8% Fibonacci retracement of the entire downside wave from 1.6745 to the trough of 1.5230 suggests a re-test of 76.4% level. Therefore, we hold onto our bullish anticipations over intraday basis; noting that, a break below 1.6165 with a daily closing will negate this scenario.
The trading range for today is among key support at 1.6075 and key resistance at 1.6400.
The general trend over short term basis is to the downside, targeting 1.4225 as far as areas of 1.6875 remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, buying the pair around 1.6200 targeting 1.6390 and stop loss below 1.6120 might be appropriate.|
Technical analysis for precious metals with major support and resistance levels and recommendations for 18-08-2009