The “bears” broke through the support at 88.90 and fix themselves below this level now. The price resides at 88.80/70. The following development of events thereupon the breakage through the above mentioned support disappoints to some degree and sets minds on the doubts that the decrease till 88.00/87.80, which has been predicted in the previous analysis, will last. The indicators’ values that greatly maintain the “bullish” mood encourage this opinion as well – the divergence at MACD and the failed attempts to lower down into the oversold zone at R%. It means that at this conjuncture it’s reasonable to be aware of clear expectances as for the price decrease till 88.00/87.80. The return into the zone higher than the level of 88.90 will determine the retracement lasting’s scenario with probable exercise of the resistance at 89.50/60. Although, until the price hasn’t returned upward the presumptions about the decrease till 88.00/87.80 are still in force.

Analysis prepared by:

Arkady Nagiev
Forex4you analyst