As long as the price is above the support 0.88600 it is very possible to see the continuation of the bullish move.
BUT, if the price goes down below this line, then it is better to get ready for sell trades.
Well that's what I think.
WE look to have broken bullish out of a descending wedge, on top of this we have the rvi bullish cross on daily chart, as this classes as consolidation look for bullish breakout.
Midterm forecast:
While the price is below the resistance 0.9305, beginning of downtrend is expected.
We make sure when the support at 0.8965 breaks.
If the resistance at 0.9305 is broken, the short-term forecast -beginning of downtrend- will be invalid.
Trading suggestion:
There is a possibility of temporary retracement to suggested resistance zone (0.9045 to...
Looks like some confluence around a break of the Fib 38% retracement level and break of the downtrend channel indicates a short sell off the back of a weakening Euro and slowly stabilising Pound.
