The support at 1.5000/10 allowed the “bulls” to continue the growth and exercise the level of 1.5120/30, which coincides in the present situation to the already broken support line of the regressing channel downward (the red lines). The rollback out of this very resistance decreased the trades till 1.5020; but now the effort to renew the increase is observed, and the price already resides at 1.5080. The indicators maintain the mood in favor of the growth lasting at this pair as R% still stays within the over purchased zone, SS has escape beyond the oversold zone and is directed upward, and MACD has slowed down the rate but still uplifts the histograms. Obviously, it’s sound to predict one more attempt of the “bulls” to increase the trades till new local maximums. It’s supposed that it’s possible to foresee another endurance checkup for the resistance at 1.5120/30: if the obstacle withstands the attacks the probability of the trades’ consolidation within the range between 1.5120/30-1.5000 for some time with the following renovation of the decrease will appear. In case of the breakage through 1.5120/30 it’ll be possible to observe the trades at 1.5230 and then 1.5340 in the relatively near outlook. Nevertheless, the observed growth together with its possible continuation should be considered as the retracement within the predominant descendant trend.
Analysis prepared by:
Arkady Nagiev
Forex4you analyst