Since the previous week’s Monday’s forecast, the impulsive wave (E) is yet to pick a momentum to the lower side, rather, the price is still consolidating around the upper resistance trend line. We are waiting for a second pullback towards this trend line to pick a short position with an ideal target along the lower trend line. If the price can break above this trend line, then further rise towards 123.00 is expected. This pair will have a similar price action to CADJPY, NZDUSD and CADJPY. These pairs have a strong positive correlation and will move in the same direction.
We’re short with our target at 107.85