The pair continues to trend higher and holds firm bullish mode for the third straight day.
Tuesday’s close above pivotal 200SMA barrier was strong bullish signal, as fresh extension higher cracked next targets at 110.62 (Fibo 76.4% of 111.39/108.11 pullback).
The pair is currently riding on the third wave (of five-wave cycle from 108.11) which pressures its 76.4% Fibo expansion at 110.85 and could extend to 111.36 (Fe 100%), to validate.
Daily techs in firm bullish configuration are supportive, with Fed in focus. Hawkish tone from the central bank would further boost the greenback. Hourly Tenkan-sen (110.52) and Kijun-sen (110.39) mark initial supports and guard 110.21 (top of thick hourly cloud) and key support at 110.16 (200SMA) which should keep the downside protected.
Res: 110.85; 111.00; 111.36; 111.88
Sup: 110.52; 110.39; 110.16, 109.88
