Ichimoku analysis (4-Hour chart)
Tenken-Sen- 1.24746
Kijun-Sen- 1.24385
Previous week low- 1.23090
The pair surged more than 150 pips from yesterday's low of 1.24481. The minutes of the Fed reflect more optimism over US economic recovery. The Fed has not given any timeline for the scale-back QE program due to the uncertainty. WTI crude oil price lost more than $5 on profit booking after hitting a 6-year high. Short term trend is bearish as long as resistance $77 holds.
Trend –Bullish
The near-term resistance is around 1.2600, a breach above targets 1.2630/1.2660/1.2700. On the lower side, immediate support stands around 1.24975; violation below will take the pair down to the next level 1.2430//1.2360.
It is good to buy on dip around 1.2518-20 with SL around 1.2470 for TP of 1.2660.
