EUR/HUF may rise 108 - 153 pips

Our pivot point is at 394.83.

Our preference

The upside prevails as long as 394.83 is support.

Alternative scenario

The downside breakout of 394.83 would call for 394.07 and 393.61.

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 positive and above its signal line. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 394.06 and 394.38). Finally, the EUR/HUF is trading above its upper Bollinger band (standing at 395.52).

Supports and resistances

398.23 **

397.78 *

397.32 **

396.87

395.79 last

395.13

394.83 **

394.07 *

393.61 **

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