Monthly: Mixed trading for the last 18 months as we hold within a bullish, but corrective, channel formation. Trend line resistance is seen at 2.0332. The previous swing high at 1.9838. The 38.2% pullback level from the 2.5319-1.6727 selloff is located at 2.0009 (close to the Big Figure).
Weekly: Holding within an Expanding Wedge formation that has an eventual bias to break to the downside (on a move through 1.8196 the measured move target is 1.6915). Three barriers of note:
- Bespoke resistance is located at 1.9797
- 8% extension level from the 1.6702-1.8007 move is located at 2.0117
- Big Figure resistance at 2.0000
A move through the previous swing high (at 1.9838) is likely to highlight bearish divergence (chart makes a higher high while the Relative Strength Index makes a lower high)
Daily: Looks to be forming an Ending Wedge. Plenty of scope for movement within the pattern before a breakout. Current trend line support seen at 1.9300. A clear break there and the immediate target is 1.8905.
