EUR/HUF may fall 79 - 118 pips

Our pivot point stands at 401.80.

Our preference

The downside prevails as long as 401.80 is resistance.

Alternative scenario

The upside breakout of 401.80, would call for 402.46 and 402.85.

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 negative and below its signal line. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 401.62 and 401.74). Finally, the EUR/HUF is trading below its lower Bollinger band (standing at 401.18).

Supports and resistances

402.85 **

402.46 *

401.80 **

401.54

401.02 last

400.23

399.84 **

399.44 *

399.05 **

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