Wait | 05 October 2022

Technical observation

Yesterday USD traded with an increasing bearish bias for some time and today I expect a continuation of this downward movement towards the supportive zone 140.69-140.33, the anticipated bearish movement is a pullback to the zone indicated above and I expect a rejection of price within this zone to pick long positions with my take profit at 145.06 and stop-loss at 138.85. If there is a clear penetration above the level 145.06, I expect a further surge to the upper side after a correction to the broken line, on the other hand, in case of a break below the zone 140.69-140.33, I expect price to plummet towards the level 135.78.

Trade recommendation

Remain neutral.