Price has dropped and reached our profit targets as expected. We turn bullish above 0.9715 buying level which is strong support (horizontal support + Fibonacci retracement + Bollinger band support) for a rise to 0.9850 (last swing high + projected Bollinger band resistance + Fibonacci projection).
RSI (21) is approaching a key support level at 17% which is in line with us expecting price to drop a bit to our buying level.
Stochastics (21,5,3) is on a key support level expecting a bounce.
Strategy would be to scale into your position. 50% buy entry now and another 50% if price drops to 0.9715.
Buy at 0.9715. Stop loss at 0.9630. Take profit at 0.9850.
The material has been provided by InstaForex Company - www.instaforex.com