- The market has been trading inside a bearish channel since end of December 2023 ; the mid-term trend was then bearish.
- Since the impact over 0.5850, bull traders have been progressively piling up long positions, leading the market to a new high, breakin-out its mid-term bearish channel.
Both moving averages remain bullish, while the MACD is also evolving in its buying zone, with no bearish divergence on sight so far.
The Stochastic indicator is in overbought zone as well.
- With the bearish trend now officially invalidated, a new upward potential unlocks for the pair.
Even if a short-term pull-back towards 0.6070/0.6033 remains possible, the bullish momentum should prevail on the mid-term outlook, especially as investors await a new monetary easing cycle in the US.
New targets can be found around 0.6174, 0.6260 and 0.6370 by extension.
Pierre Veyret, Technical Analyst at ActivTrades
The information provided does not constitute investment research. The material has no been prepared in accordance with the legal requirements designed to promote the independence of investment research and such is to be considered to be a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acing on the information provided does so at their own risk.
- Since the impact over 0.5850, bull traders have been progressively piling up long positions, leading the market to a new high, breakin-out its mid-term bearish channel.
Both moving averages remain bullish, while the MACD is also evolving in its buying zone, with no bearish divergence on sight so far.
The Stochastic indicator is in overbought zone as well.
- With the bearish trend now officially invalidated, a new upward potential unlocks for the pair.
Even if a short-term pull-back towards 0.6070/0.6033 remains possible, the bullish momentum should prevail on the mid-term outlook, especially as investors await a new monetary easing cycle in the US.
New targets can be found around 0.6174, 0.6260 and 0.6370 by extension.
Pierre Veyret, Technical Analyst at ActivTrades
The information provided does not constitute investment research. The material has no been prepared in accordance with the legal requirements designed to promote the independence of investment research and such is to be considered to be a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acing on the information provided does so at their own risk.