Bearish O&U | 14 December 2016

Daily chart: the pair is trapped inside upper Bollinger envelope (1.2542-1.2750). ADX is almost in trend, so it's hared to say when trend will start. Maybe, it will start today.

Н4: The situation here is quite the same. There is a horizontal corridor within Bollinger envelopes (1.2542-1.2750) and ADX which is not strong enough. The pair is obviously going to drift until news is published.

Н1: we are noticing the pair's downward potential due to bearish Over&Under pattern. Possible selling entry is 1.2700, profit-taking point is 1.2632.

Expectations: from a technical perspective we expect a shift towards 1.2700 and later a drop towards 1.2632. However, all the expected moves can be prevented by increased market volatility caused by evening news release.

Solutions: sell in the range between 1.2700 and 1.2632.