USD/BRL may rise 457 - 685 pips

Our pivot point stands at 5.5807.

Our preference

Rebound towards 5.6793.

Alternative scenario

The downside breakout of 5.5807 would call for 5.5423 and 5.5194.

Comment

The RSI is below its neutrality area at 50. The MACD is above its signal line and negative. The configuration is mixed. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 5.6168 and 5.6323).

Supports and resistances

5.7250 **

5.7022 *

5.6793 **

5.6565

5.6108 last

5.5957

5.5807 **

5.5423 *

5.5194 **

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