EUR/HUF may rise 97 - 143 pips

Our pivot point is at 390.29.

Our preference

The upside prevails as long as 390.29 is support.

Alternative scenario

The downside breakout of 390.29 would call for 389.52 and 389.07.

Comment

The RSI is above 70. It could mean either that the pair is in a lasting uptrend or just overbought and therefore bound to correct (look for bearish divergence in this case). The MACD is above its signal line and positive. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 390.21 and 390.19). Finally, the EUR/HUF has crossed above its upper Bollinger band (391.22).

Supports and resistances

394.25 **

393.79 *

393.33 **

392.87

391.90 last

390.60

390.29 **

389.52 *

389.07 **

Number of asterisks represents the strength of support and resistance levels.