The sellers attempted to place greater pressures since the 15th of December 2016 and were indeed the big gainers with a profit of around 200 pips to their favour. Today’s major pivot point area is the 122.12 level.
The latest stabilization of the pair slightly close to the 122.12 area is a good indication that the price may retrace once again to the downside.
In the event where the pair drops, the sellers could lock their profit at 120.92.
The Stochastic oscillator confirms the downtrend formation thus showing that the pair has greater probabilities of retracing downwards.
In contrast, in the condition where the bullish pressures get more tensed and the pair breaks above the 122.85 level, the price could rise to 124.08.
· Probable trend (Bearish): 122.12
· Bearish take profit target: 120.92
· Stop loss target: 122.85
· Alternative trend (Bullish): 122.85
· Bullish take profit target: 124.08