Weekly bias remains bearish. List of indicators applied on the 4 hours time-frame used for analysis includes:
Moving Averages 21 and 55 = Sell
Parabolic S.A.R = Sell
R.S.I = Sell
MACD = Sell
SSRC(customized stochastic) = Sell
Weekly Central Pivot Point Bias = Bearish
Candlestick formed from previous week = Bearish
The pair’s break of 0.7739 minor support last week argues the consolidation pattern from 0.7625 to 0.7911 is likely completed already. Initial bias is on the downside this week for 0.7625 first. A break and close below will confirm this bearish case and target 61.8% projection of 0.8294 to 0.7625 from 0.7912 at 0.7499. On the upside, above 0.7844 minor resistance will dampen this bearish case and extend the consolidation from 0.7625 with another rise.
In the week ahead, markets will be watching Thursday’s Australian Employment Statistics and U.S. retail sales report for further indications on the strength of the recovery.