Has finally given a breakout after months of consolidations preceded by year-long free fall. 200 Moving Average was at 81 levels which was acting as a small resistance along with a resistance at 83.20 level. Can go long for a target of 120.
As the current price is at the edge of the support line, the price could back up bullish in short term. However, in longer term after price hits the channel line, it could be resisted and go downwards.
Despite the pair’s rebound from the descending trend line support last Friday, the subsequent failure at 113.78 earlier this week followed by a retreat to 112.70 today has set falling tops formation.
A daily close below 112.61 (last Friday’s low) would mark falling bottom and open doors for a test of 111.90 – 111.61 levels.