Bullish engulfing candle | 27 يوليو 2017

Wave Analysis:

Just as in the cable, despite the bearish pin bar seen on Tuesday, this pair barely traded short, instead it rose incessantly to the upper side and even went above a key resistance level 1.16610. The previous day's candle is a perfect bullish engulfing candle and signals a possible increase of buyers in this market. During this intraday, we expect a possible extension of the impulsive wave (v) to the upper side but should not go beyond 1.21322. A breakout above this level will push the price further to the upperside but should not go beyond 1.222. This pair should be traded alongside GBPUSD, AUDUSD, NZDUSD and EURJPY. These pairs have a strong positive correlation of up to +68% and will move in the same direction during this intraday.

Trade Recommendations:

Expect a possible bullish price rally towards 1.21322