The spot rate is currently testing the upper limit of its medium term bearish channel in the point 107.50 and appears to begin a decline. However, a breakdown of these levels will reveal significant potential beginning a bullish trend.
Technical indicators provide signals for sellers and approach the overbuy zone indicating the prospect decline. Bollinger bands are much discarded due to the strong increase that took place these days. The situation is expected to stabilize soon.
Considering the previous events, the market indicates a bullish opportunity as soon as the spot rate will has broken its resistance in the point 107.50 with its 1st objectives seen at 108.10 and 108.30 levels. A breakdown in the point 107.30 will result in reversing of the prospect scenario.