Remain flat. | 01 June 2022

Technical observation

Price broke above a resistance zone 128.21-128.14 with a big green candle and currently it is trading slightly above the same zone. My expectation is a pullback to the zone I have mentioned above followed by a rejection within it to pick long positions with my take profit at 129.58 and stop loss at 127.72. Should there be a clear break above the level 129.58, I anticipate a further momentum to the upper side, on the other hand in case USD is not sustained above the zone 128.21-128.14 but clearly breaks below it with a big red candle; I expect a possible surge in price towards the lower supportive level 126.50.

Trade recommendation

Remain flat.