We are neutral. | 22 July 2022

Technical observation

On the 4 hour chart above price has been trading with an increasing bearish bias for some time now and I expect a continuation of this bearish movement to the supportive zone 134.77-134.52. I would advise that you remain flat and wait for a correction to the zone I have mentioned above then pick long positions within it after a bounce with your take profit at 139.14 and stop-loss at 133.39. In case of a penetration above the level 139.14 with a big green candle, I expect the value of the pair above to rally further upwards; on the other hand if there is a clear break below the zone 134.77-134.52 you can expect a surge towards 131.77.

Trade recommendation

Remain flat.