Overview:- Pair is doing so good and making successively lower highs and lower lows. Bears are breaking all the resistances and heading to the downside with a complete bearish momentum. The overall pair is trading and moving below the moving average lines which is providing a bearish signal.
The first phase of bear run has started from 1.1830 which ended at 1.1704 level. Pair is trading and moving towards south side and sustaining below all the major and minor EMA lines. The short-term to an intermediate-term trend is down so in a downtrend market just sell on high and covert every rise as a selling opportunity. A bearish crossover of MACD indicator is providing us the bearish signal and the RSI indicator is also providing us a bearish signal. Odds are in favor of bears and intraday bias remains bearish on the pair as long as 1.1770 level remains intact. The 1.1670 and 1.1620 are the soft target of bears which may be achieved at any time.
The short-term trend to intermediate-term trend is down so in an downtrend market sell on highs will be a profitable strategy. Well, bears are already taking up the charge and they will get more aggressive below the 1.1700 level so for the arrival of 1.1600 level we need at least an hourly closing below1.1700.
Technically: – An uptrend line has been breached out and a downtrend line also lying on the chart which is providing us a bearish signal. Odds are in favor of bears and daily to weekly bias remains bearish on the pair as long as 1.1830 level remains intact on a closing basis.
A death crossover on the moving average lines is providing us bearish signal on 4 hourly chart.
Trade idea:- Traders and investors are advised to sell the pair at 1.1740-30 level for the target of 1.1650 and 1.1600 level with the tight stop loss of 1.1800 on an hourly closing basis.
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