USD/BRL may rise 445 - 668 pips

Our pivot point is at 5.5292.

Our preference

Rebound towards 5.6258.

Alternative scenario

The downside breakout of 5.5292 would call for 5.4918 and 5.4696.

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 above its 20 period moving average (5.5474) but under its 50 period moving average (5.5828). Finally, the USD/BRL has crossed above its upper Bollinger band (5.5529).

Supports and resistances

5.6703 **

5.6480 *

5.6258 **

5.6035

5.5590 last

5.5439

5.5292 **

5.4918 *

5.4696 **

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