Dukascopy Analytics were surprised to find out that the previously drawn descending pattern, which was in focus of the daily reviews before Christmas, was still holding at the start of January.
In general, the pair had reached the lower trend line of the pattern and bounced off of it on Wednesday. Due to that reason it was expected that the rate should surge. First target for a surge would be the weekly S2 at the 109.18 level.
On the other hand, a decline could be resumed, as the pattern is steep enough for its lower trend line to be below the 108.50 level before the middle of Thursday’s trading session.
