Since the beginning of the week, the pair is growing.
Today the pair was supported by strong data from Australia. New Motor Vehicle Sales for November grew to 6%, while the House Price Index came out in line with forecasts at 2%. At the same time, the pair is pressured by expectations of the Fed Interest Rate Decision that is due tomorrow. Markets expect rates to be increased that would add to the pressure on the pair.
Today attention needs to be paid to the Consumer Price Index in the US. on the market is expected to be low.
Support and resistance
On the 4-hour chart, the pair is trading between the middle and upper MA’s of . Moving averages with 100 and 144 periods are above the price and directed horizontally. histogram is in the positive zone and its volumes remain almost unchanged. indicates pair’s decline, lines cross over and directed down.
Today, the pair is expected to remain within the range of 0.7247-0.7302.
Support levels: 0.7247 (middle MA of , MA50), 0.7182, 0.7159 (this week low), 0.7133, 06984, 0.6908.
Resistance levels: 0.7280, 0.7302 (MA100), 0.7343 (last week low), 0.7353, 0.7385.
Long positions can be opened after the price consolidation above the level of 0.7280 with targets at 0.7302, 0.7343 and stop-loss at 0.7260.
Short positions can be opened after the breakdown of the level of 0.7247 with the target at 0.7182 and stop-loss at 0.7280.
Scenario validity – 1-2 days.