Buyers showed tangible weakness at the area of psychological resistance 1.10. They willingly sell out the euro here that was predictable. Now we can get a development of downward wave in direction of the middle Bollinger band (1.0862).
We note that important dynamic resistance level - local upper Bollinger band resides at the 1.1024 mark suggesting a probability of testing this zone before a downward reversal.
Sell targets from 1.1024 might be support levels 1.0918, 1.0862 and 1.0805.
The range of probable intraday consolidation again will be limited by the scope of Bollinger bands: 1.0948-1.0992.
However ADX indicator is in active zone, therefore we can’t rule out a higher volatility today.
Main scenario: Growth to 1.1024 and then downward reversal in direction 1.0948.
Alternative scenario: Mixed movements inside the 1.0948-1.0992 range.
Longs to 1.0992 and 1.1024.
Shorts from 1.1024 to 1.0948.