The price has faced a resistance at 1.1168, which was strengthened by the 89 Moving Average. Also, there’s a “Double Top” pattern, which brought bears into the market. Finally, sellers reached a support at 1.1015, which led to the current upward correction.
Considering a local “V-Bottom” pattern, the pair is likely going to achieve the nearest support at 1.1120. If a pullback from here happens afterwards, there’ll be a chance to see another downward movement in the direction of a support at 1.1001 – 1.0970.
As we can see on the one-hour chart, bears got a support at 1.1014, which led to form a “V-Bottom” pattern, so there’s a consolidation under the nearest resistance at 1.1074. Therefore, the market is likely going to rise towards the next resistance at 1.1097 – 1.1120 in the short term. However, if we see a pullback from this area, bears will probably try to return into the market.
Origin: FX BAZOOKA
