The ascending channel is still valid
The business activity indexes in the Markit and ISM services sector all were better than expected. Meanwhile on the price chart, the price has formed a descending channel; the channel has not been broken to either sides yet. there is no trend reversal signal .
Chart Notes:
• Chart time-zone is UTC (+03:00)
• Candles’ time-frame is 4h.
The support rests at 1.09900 with resistance at 1.10080 which both lines are below the weekly pivot point at 1.10610. The EMA of 10 is moving with bearish bias in the descendant channel and it is below the EMA of 100 and the EMA of 200. The RSI is moving in oversold area, the Stochastic is moving in low ranges and the MACD line is below the signal line in the negative territory. The ADX is showing sell signal.
The downward pressure remains, pushing the price down towards 1.09800.
• DISCLAIMER: Please note that the above analysis is not an investment suggestion by “Capitalcore Ltd”. This post has been published only for educational purposes.