The pair is presently touching the support line started at the significant tough of 0.8925 as seen on the provided daily chart while Stochastic continued reflecting an obvious oversold case. Hence, we see chances for starting a reversal during the upcoming hours but not before clearing the wide resistance territories between 0.9105 and 0.9145 in order to confirm this scenario. For bulls, the psychological level of 0.9000 should be your intraday defensive level.
The trading range for today is among key support at 0.8965 and key resistance at 0.9175.
The general trend over short term basis is to the upside, targeting 0.9950 as far as areas of 0.8850 remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, buying the pair above 0.9105 targeting 0.9260 and stop loss below 0.9000 might be appropriate.|
Technical analysis for precious metals with major support and resistance levels and recommendations for 18-08-2009