As you can probably observe bears in the long run have been slipping through the sloping channel, and they manage prices to stay below DMAs, current dips likely to extend up to channel support.
To substantiate this stance, 21DMA has crossed over 7DMA which is a sell signal.
is also not deviating from this call, it’s been oscillating below zero level which is a trajectory.
Currently, on daily plotting (14) trending below near 33 levels (while articulating) clearly converging to the current price declines to signify the momentum in selling pressures.
While Stochs have reached below 20 but still popping up with %D crossover to signal the selling momentum.
On a broader perspective, we traced out an “inverted saucer pattern” that can extend the price declines up to 115.502 levels. It is trading at 3-year lows at the moment.
Moreover, the break below 122.028 may also expose to 61.8% Fibonacci retracements, current prices remain well below EMAs, the down-trend has been slipping through (see monthly plotting). Hence, it is perceived as on-going downtrend would prevail further.
As stated earlier in our previous long-term trend analysis the pair is forming a sloping channel and more downside targets are on the cards. Bears have completely taken the control over the rallies to evidence every dip with ease and with huge volumes (see weekly & monthly charts for volumes conformity).
The most probable scenario would be that it may test 115.502 levels as a next strong support.
Hence, using these deceptive rallies, it is smart to stay short in mid-month for above mentioned targets, alternatively on intraday speculative mindset, one can eye on buying one touch delta binary puts for maximum targets of 118.978 to give leveraging effects to the profitability where the current implied of this pair is considerably higher, a tad below 18%.