The currency pair trades well below the 0.9000 level on board-based US dollar selling. It hit a low of 0.89411 and is currently trading around 0.89435. The intraday bias appears to be bearish as long as the resistance 0.9000 holds.
Markets eye Richmond manufacturing index and CB consumer confidence today for further direction.
Technical Analysis and Resistance Levels
The pair is trading below the 34-EMA and 55-EMA on the 4-hour chart indicating a mixed trend. The immediate resistance is at 0.9000 any break above targets 0.9035/0.9070/0.9100/0.9150/0.9200/0.92250/0.9275/0.9030.
Support Levels and Potential Declines
On the downside, near-term support is around 0.8940, any violation below will drag the pair to 0.8890/0.8800.
Indicators
CCI (50) - Bearish
Directional movement Index - neutral
Trading Strategy Recommendation
It is good to sell on rallies around 0.9000 with a stop-loss at 0.9040 for a TP of 0.8940/0.8900.
