Notwithstanding that this pair has been dropping for some time, this pair has reached a support level of 1.314 in June 2015 and has proved to hold strong for the last 4 days. Tuesday, Wednesday and Thursday day chart saw a morning star candle stick pattern forming. In addition, Friday was a rejection candle by the bulls for the price to go any lower as seen from the extremely long down wick and closing as an indecisive candle. While a possible 5th wave Elliot would reach 1.25321, I am of view that the 5th wave is truncated and ended at the morning star of 1.30772. I will be targeting 1.334 with stop loss at 1.301*. These are previous support and resistance levels in the downtrend.
*DYOD
*DYOD