The last week’s maximums were exercised; moreover, the price had even reached a bit higher, 1.5210/20 and began its rollback downward afterwards. The trades are carried at 15060/50 now.
In other words, the price has returned to recent powerful resistance that has later become a durable support. The indicators demonstrate the change of mood in favor of the “bearish” trend. The breakage through the exercised support with the fixation above with such values of the indicators reason a high probability of the mid-term downward trend’s renovation. Nevertheless, it’s reasonable to wait until the breakage through the support at 1.5000/1.4990/80 for making sure that the descendant trend will have renewed. In case when this event occurs the exercise of the minimums at 1.4830/00-1.4770/60 will be a matter for the immediate future. In the meantime, the “bulls” have a chance to retrieve the authority at the market as the price comeback higher than the resistance at 1.5100/20 will become an exact signal.
Analysis prepared by:
Arkady Nagiev
Forex4you analyst