By analyzing the daily chart we can see that pair is heading south side and it’s making successively lower lows and lower highs where each and every candle is supporting the bearish sentiments. Short term to intermediate term trend is down so in a downtrend market always sell on high which will be a profitable strategy.
By looking at the daily chart we can see that pair is falling down with head and shoulder pattern where bears are leading and dominating the bulls at every nook and corner. Even last week itself bears breached the strong key support level where we can see that a panic downfall with high volume.
From past consecutive days we are witnessing steep downfall where bears are dominating the bulls and heading south side with strong bearish momentum as it has given us valid breakout of descending triangle pattern where only bears are leading. Presently pair is trading and sustaining below the moving average lines which is providing us bearish signal and the way bears are reacting it seems like it’s just a starting further downfall is still awaited.
From technical prospective we can see that three black crow pattern which has been posted on the chart is providing us bearish signal and providing strength to the bears. So traders and investors are advised to go for short and add further position below the 1.2350 level. Currently pair has changed the bias from bullish to bearish and from technical prospective we can see that the double top pattern has been formed on the daily chart which is generating bearish signal.
A bearish crossover on the MACD indicator is providing us bearish signal. RSI is also supporting the bearish sentiments from negative territory. The 1.2550 level is immediate resistance level followed by 1.2780 whereas 1.2280 level is strong key support level followed by 1.2100 level.