Due to the progress in the negotiations between the US and China, we can assume that the situation is stabilizing. The US dollar continues to strengthen and we see a continuation of the downward movement in our pair.
At the moment the correction is completed and a third downward wave has been formed on the daily chart. We believe that the trend will remain descending and the pair will be striving for the level of 1.15. Our technical indicators confirm this downward movement and entry in short positions.
The local resistance levels are located at 1.1770 and 1.1730. Entry in short positions is recommended from these levels. Exit of the market should be considered near the levels of 1.1700 and 1.1665.
