We're flat | 31 July 2019

Technical observation

Yesterday EUR did not penetrate below the line 1.1128 as had been expected but instead rallied upwards however, this pair is still around the support and I still expect a clear penetration below it with a big red candle. Remain flat and wait for a clear breakout below 1.1128 with a big red candle followed by a correction and a bounce at it to sell EUR. On your way downwards the key levels to look for include, 1.0818 and 1.0485. As long as EUR is contained below the resistance zone 1.1425-1.1400 only bearish price movements can be anticipated. Bullish movements may only be expected above the zone towards 1.1755.

Trade recommendation

Remain flat.