Yesterday’s strong bounce from significant support at 1.2409 that returned near the upper pivot at 1.2600 zone, has sidelined growing downside risk. Long-body and long-tailed daily candle that was formed yesterday, underpins fresh recovery which requires firm break above 1.2600 resistance zone to generate fresh bullish signal for extension towards key n/t barrier at 1.2671 (26 Jan peak). Daily studies in firm bullish setup support scenario. Rising daily Tenkan-sen marks strong support at 1.2465 which is expected to contain corrective dips. Daily cloud that twisted today and is thickening (currently spanned between 1.2419 and 1.2426), along with 1.2409 (Fibo 38.2% of 1.1986/1.2671, reinforced by 55SMA), mark breakpoints, loss of which would bring bears back to play.
Res: 1.2589, 1.2603, 1.2671, 1.2726
Sup: 1.2541, 1.2510, 1.2465, 1.2426