© Dukascopy Bank SA
The pattern started when the pair rebounded from 97.386 and slowed down at 96.250 after testing pattern's support levels at 96.418 and 96.143. The CCI and the Stochastic indicators on 30M and 1H time horizons are sending buy signals. Long traders who expect to see some price correction could set the first target at 20th of July peak at 96.531. If this level is breached, next target would be at the pattern's resistance band at 96.586.
Technical indicators on aggregate point at further depreciation of the pair on 30M and 4H outlooks suggesting that the pair will continue to follow the general trend. The SWFX market sentiment shows that 40% of the traders share the same expectations. Short traders could set the first target at 4H retracement (Fibonacci) level at 56.250. If this level is breached, next targets might be at the recent low at 96.143 and at pattern's support band at 96.041.
© Dukascopy Bank SA