Remain neutral | 28 January 2020

Technical observation

On the daily chart above, EUR has been decreasing in value towards a supportive level it established round 1.0992. Currently price is trading above the line with an increasing bullish bias and I expect either a rejection at the line or a clear penetration below it. In case of a bounce at the support 1.0992, wait for a correction to the zone 1.1187-1.1175 to sell EUR, and should there be a clear penetration below the level 1.0992 with a big red candle, wait for a retracement to the line and a bounce at it confirming further bearish movements of EUR before you pick short positions with your take profit at 1.0818.

Trade recommendation

Remain flat.