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The pattern started when the pair started recovering from 0.7888 after dropping from 0.7943. Currently the pair is trading at 0.8017. Gap between pattern's support and resistance narrows by 45 pips in 100 bars. Technical indicators on aggregate point at augmentation of the pair on 4H horizons. The SWFX market sentiment is bullish as 60% of traders hold long positions on the pair. In addition, in the range of 100 pips from current market price, 52% of pending orders are buy orders. Long traders should focus on 12th of September high at 0.8029, daily pivot (R1) at 0.8036 and pattern's resistance limit at 0.8043.
The Stochastic indicator send sell signal on 1D horizon suggesting that we might see a bearish correction in the near future. Short traders could set their targets at pattern's support at 0.8011, daily pivot (PP) at 0.8003, Fibonacci (23.6% of move since 5th of September) and daily pivot (S1)/Fibonacci (38.2%) at 0.7978/74.
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