Recently, finding significant demand around 1.2000, has allowed another bullish movement to pursue towards higher price levels ( 1.2100 - 1.2130 ) which failed to apply sufficient bearish pressure on the pair.
Transient bullish breakout above this zone was temporarily expressed. However, the pair has failed to maintain intermediate-term bullish movement above 1.2130.
On the other hand, Bearish persistence below the price zone of 1.2050-1.2000 was needed to establish a short-term downtrend.
Shortly after, Bearish re-closure below 1.2100 then 1.2050 allowed more bearish domination.
Initial bearish targets were located around 1.1940 then 1.1850 which offered some bullish rejection for sometime before another bearish movement could take place towards 1.1780.
Currently, any upcoming bullish pullback towards 1.1985 should be considered for bearish rejection and a valid SELL Entry.
On the other hand, bearish persistence below 1.1850 then 1.1800 will probably enable further bearish decline towards 1.1750 and 1.1700 if sufficient bearish pressure is applied.
The material has been provided by InstaForex Company - www.instaforex.com