By: Doug Rosen
I will start my analysis for this pair today with the weekly chart. Price fibbed recently just shy of the 50.0 and now is coming into contact with the 13 and 21 ema's and I would like to point out that the 13 is crossing above the 21.
It will still take some time for price to touch these ema's since we are talking about the weekly chart at this time but I will expect a reaction when it does. Meanwhile, the 5 ema is just above price rolling down and I can see that soon price will get crunched in between these ema's.
Moving on to the daily chart I can see that just yesterday we touched the 55 ema and made a bounce but now we are heading back down a bit. Price is riding the 5 ema down meanwhile. The 55 and 144 ema's are overlapped with each other at this moment and the lower Bollinger band is also in that zone, however, the lower Bollinger band is open and pointing down.
On the 4 hour chart as well as the monthly pivot chart price is riding down the 13 ema with the 21 ema stepping in as needed. Price just recently broke below the S2 pivot at 0.8815 and fell to the M0 at 0.8764 and has bounced and up against the 5 ema. I expect to see price drop further.
On to the hourly chart also the weekly pivot chart price is below the M2 at 0.8808 and we have had some ema crossovers to the downside and price is now riding below the 5 ema. I also want to note that the lower Bollinger band is pointing up but we have a ways to go before we get to that area.
Finally, on the 15 minute chart also the daily pivot chart price has broken below the central pivot point at 0.8798 and has retested it and is dropping further. The next pivot level below is the M2 at 0.8768 and the stochastic is in the trade zone and price is coasting below the ema's so I maintain my bearish bias on this pair.
At the time I am writing this analysis this pair was in the midst of a reverse fib to the upside at the 38.2 level and this could force price back up to the daily central pivot before it continues to drop further.