USD/PLN may fall 123 - 174 pips

4.0287 is our pivot point.

Our preference

The downside prevails as long as 4.0287 is resistance.

Alternative scenario

The upside breakout of 4.0287, would call for 4.0372 and 4.0423.

Comment

The RSI is below its neutrality area at 50. The MACD is negative and below its signal line. The configuration is negative. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 4.0266 and 4.0278). Finally, the USD/PLN has penetrated its lower Bollinger band (4.0194).

Supports and resistances

4.0423 **

4.0372 *

4.0287 **

4.0253

4.0178 last

4.0055

4.0004 **

3.9953 *

3.9902 **

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