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The pattern started when the pair rebounded from 1.5576 and after testing support levels at around 1.5484 and 1.5573 it has slowed down at 1.569 where the pair is currently trading. Technical indicators on aggregate point at a strong bull market outbreak probability on the 1H time horizon. Although major resistance levels have been broken in the last few hours long traders still should focus on the pattern resistance band at around 1.570 and on the 21st of June high at 1.5733.
The Stochastic indicator is deep in the sell zone on the 30M time frame. The SWFX market sentiment is almost equally divided between bears and bulls, with slightly more participants expecting pair to drop in the near future. Short traders could focus on the recent high at 1.5680. If the pair breaches this level, next possible targets could be at the daily Fibonacci retracement levels at 1.5627 and 1.5594 and at the pattern support level at around 1.561.
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