Current price: 1.0890

Key point: 1.0920

Our preferred direction: sell positions below 1.0920 levels, targeting 1.0820 as the first target, then 1.0760 as the second target.

Alternative scenario: Stop loss and change the trend by breaking the 1.0920 level, targeting 1.1015 levels.

Technical commentary

Yesterday, the pair rose by approximately 0.75% before correcting again with the release of US services and manufacturing PMI data, which was positive. Today, the markets are awaiting important data from the European Central Bank to announce interest rates, which are expected to be fixed at 4.5% levels, while waiting for Christine Lagarde’s press conference to find out any new developments in the bank’s monetary policy.
The pair rose from the support levels of 1.0820. If 1.0925 levels are breached with a 200 moving average, this rise will continue to 1.1015 levels.
However, the price reached a downward trend line below the 200 moving average, so it is expected to resume the decline again to 1.0820 levels.