Daily Pivots: (S1) 0.8389; (P) 0.8418; (R1) 0.8434; More…
Break of 0.8404 suggests that fall from 0.8529 is resuming. Intraday bias is turned to the downside for 0.8303/8312 support zone. Break there will extend the correction from 0.9304 and target 0.8116 cluster support. On the upside, break of 0.8508 will indicate that rise from 0.8312 is resuming and would target 0.8786 resistance instead.
In the bigger picture, price actions from 0.9304 are viewed as a medium term corrective pattern. In case of deeper fall, we’d expect strong support from 0.8116 cluster support (50% retracement of 0.6935 to 0.9304 at 0.8120) to contain downside. Rise from 0.6935 (2015 low) will resume at a later stage to 0.9799 (2008 high). However, sustained break of 0.8116 could bring deeper decline to next key support level at 0.7564 before the correction completes.
