Overview:- Overall pair is trading and moving in an uptrend and making successively higher highs and higher lows on day to day basis. Pair is trading at 3 month’s fresh high recently it posted a bullish marabuzo candlestick which is providing us bullish signal on daily chart. Well the way bulls are reacting it seems like they are going to approach the 0.9450 level in near term.
Also, bulls are in long drive mood and their upcoming destination is 0.9450 and 0.9550 level at least. From there they we may see some relaxation mode or correction but this correction again should be taken as buying opportunity. On the flip side, a turn lower below the 0.9290 figure could be seen as bearish in the medium-term with supports possibly emerging near the 0.9200 and 09150 levels.
Technical Analysis:- From technical prospective we can see that pair is trading and moving in an uptrend channel where only bulls can be seen. Bulls are dominating the bears at every nook and corner. Overall pair is trading above all the major and minor EMA lines, which is providing us bullish signal for the time being, however some correction can’t ruled out even these correction should be taken as buying opportunity.
Odds are in favor of bulls and our weekly bias remains bullish on the pair as long as pair is trading above 0.9150 level. The first week of the week started with a positive note which has boosted up the buyer’s courage. On weekly chart also a clear cut breakout of the 50 EMA line can’t be ignored by bulls which is also providing strength to the bulls.
Also, a bullish crossover on the MACD indicator is providing us bullish signal and RSI is also favoring the bulls as it is trading above 50 level on weekly chart
Trade idea:- Based on the chart and studies above we can say that one can go for buy at 0.9350 level for the target of 0.9450 and 0.9500 with the tight stop loss of 0.9150 level.
