We're flat | 19 October 2020

Technical observation

USD is trading below a resistance line 105.46 with an increasing bearish bias. However, I expect a clear breakout above the level mentioned above with a big green candle but price could still decline to the supportive zone 105.21-105.18. In case of a clear break above 105.46, wait for a correction to it and a bounce to buy USD with your take profit at 105.83 and stop loss at 105.33, and should there be a correction to the zone 105.21-105.18, buy USD within it after a bounce with your take profit at the resistance line 105.46. Right now remaining neutral with this pair is ideal than picking any position.

Trade recommendation

Remain flat.