EUR/PLN may fall 110 - 158 pips

Our pivot point stands at 4.2972.

Our preference

The downside prevails as long as 4.2972 is resistance.

Alternative scenario

Above 4.2972, look for 4.3053 and 4.3101.

Comment

The RSI is trading below 30. This could mean that either the pair is in a lasting downtrend or just oversold and that therefore a rebound could shape (look for bullish divergence in this case). The MACD is below its signal line and negative. The configuration is negative. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 4.2977 and 4.2968). Finally, the EUR/PLN is trading below its lower Bollinger band (standing at 4.2889).

Supports and resistances

4.3101 **

4.3053 *

4.2972 **

4.2940

4.2880 last

4.2770

4.2722 **

4.2674 *

4.2626 **

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