Remain neutral | 13 December 2021

Technical observation

USD is stagnating below the resistance zone 113.82-113.77; my expectation however is a rise to the same zone followed by a clear breakout below it with a big green candle. My advice, if price breaks above 113.82-113.77 with a big green candle, wait for a pull back to it and rejection within the same zone before you pick long positions, on your way upwards the levels to look for include 114.73 and the upper resistance level 115.53. However, as long as USD is contained below the zone 113.82-113.77, I anticipate bearish movements of this pair, in case of a breakout below the level 112.59, I expect USD to plummet further to the lower side.

Trade recommendation

Remain flat