The Weekly chart shows a inverted head and shoulders formation after the pair has broken its previous downtrend channel and has tested the neckline, opening way for further upside while holding above both its 200 week MA and faster MA.
The pair is progressing inside a uptrend channel and is holding above its 200 period MA and below its faster MA while also pending a upside correction.
Further upside is expected also considering the Inverted Head and Shoulders formation present on Weekly and Daily.
Buy at the current price with a stop loss below the channel at 1.3347, a target at 1.3558 near the next resistance and a second target available at 1.3672 near the most recent top.
This provides a total risk/reward ratio of 72/260.
The pair is contained in a uptrend channel after the breakout from the previous downtrend channel and is forming a bullish flag while holding above its faster MA and below its 200 period MA.
It is also in a corrective phase of the 1.3572-1.3353 descendent wave and upside is supported by the presence of a inverted head and shoulders on Weekly/Daily.
Buy after a breakout above the flag at 1.3497 with a stop loss placed at 1.3469 and a target near the next resistance at 1.3566.
Goldenschild Asset Management