The price has been rising steadily since the end of April, regularly reaching higher highs and lower lows. The price is currently close to both its last swing high and the upper Bollinger Band.
Prompt support at the middle Bollinger Band (1.25881) and the 50-day SMA (1.26844).
Resistance is most likely found near 1.28456, the current high. A break above this mark can indicate additional bullish momentum.
The oscillator in the overbought area indicates that a reversal or consolidation may be approaching, indicating that the purchasing pressure may be lessening.
Point of Consideration: Should the price retrace to the middle Bollinger Band (1.2588) or the 50-day SMA (1.26844) and exhibit indications of support, like a bounce or a failed breakdown (a "fakeout"), then you might think about taking a long position.
Invalidation Point: To control risk, think about placing a stop-loss below the middle Bollinger Band, which is around 1.2581.
Potential Target: If the uptrend holds, watch for a rise towards the most recent high, at 1.2845, and possibly higher.
Point of Consideration: Should the price fail to breach the resistance level at 1.2845 and exhibit negative momentum indicators, like persistently overbought circumstances in the Stochastic Oscillator, then take into account opening a short trade.
Validation Point: To control risk, take into account placing a stop-loss above the most recent high, which is 1.2845. This is a critical level because a breach over it would render the bearish setup void.
Possible Target: The middle Bollinger Band (1.2588) or the 50-day SMA (1.2684) could be the first targets. If the bearish momentum persists, expect additional declines towards the lower Bollinger Band, which is located around 1.2270.
