Overiview : Well the way bulls are reacting it seems like they are doing mind blowing job for the time being and recently they have given us fabulous breakout of the 109.50 level which is providing us further bullish signal. Well presently pair is trading at 110.17 which is a fresh high after May 2019 i.e. multi month high.
by looking at the daily technical chart we can see that bulls are leading in the game from past couple of days and they made a fabulous counter attack from the 107.64 level and since then it is heading upside with strong bullish momentum and yesterday it marked a new high of 110.20 which is fresh high after May 2019. Well bulls are trading and surviving above multi month’s high which is favoring the bulls and leading in the game.
Technical Analysis:- From technical prospective we can see that a rounding bottom pattern is in process of formation and we will get further confirmation once pair trades and settles above 110.50 level. On daily chart bulls are taking support from an uptrend line. We will keep our view bullish on the pair as long as uptrend line remains intact. This week’s closing matter a lot. Well the way bulls are reacting it seems like bulls will arrive at this level in near term. . A bullish crossover on the MACD indicator is generating bullish signal for the time being and RSI is also favoring the bulls for the time being. Presently pair is trading above all the major and minor EMA lines which is providing strenght to the bulls.
What next:- Odds are in favor of bulls. Intraday bias remains bullish on the pair as long as 107.50 level remains intact. A daily closing above 110.60 level will open the way towards 111.00 level and furthermore in near term.The 109.50 is immediate support level followed by 109.00 level whereas 111.00 level is immediate resistance level followed by 111.50.
Trade idea:- Based on chart and studies above we would recommend that one should go for long around 110.10-110 level for the target of 110.70 and 111.30 sl is 109.50 level.
