The “bullish” variant of the events’ development mentioned in the previous commentary and presumed the probability of the price increase till its new local maximums at 1.3820/30 has been eventually confirmed. The price increased from 1.3680/90 to the resistance at 1.3820 and then turned to be at 1.3785 thereupon the rollback downward; and it resides now there exactly. The indicators predict the continuation of the growth, but the probability of the divergence at MACD tells that the continuation mentioned above may be impermanent. In other words, it points out on the grounds that the raise will be restricted with the powerful support at 1.3850/60; thereafter the consolidation at the achieved levels or, even more, the massive rollback downward starts. Otherwise, the breakage through the support at 1.3740/20 from the current levels already will denote the great doubts in the power of the “bullish” trend.

Analysis prepared by:

Arkady Nagiev
Forex4you analyst