spotfxtrader

The impulsiveness of the decline has carried the market below our 1.3516 objective and, as the daily chart shows, this move has penetrated the channel support drawn up off the September low. This is now a fairly critical juncture for the market; declines remain impulsive in nature and rallies continue to resemble corrective action, suggesting a move to the slower channel support which coincides with the band of consolidation commencing with the 1.3163 level.  1.3516 is now capping the market and a recovery of the 1.3693 area would really be required to signal an end to this decline.