USD/COP may rise 2059 - 3079 pips

3917.10 is our pivot point.

Our preference

As long as 3917.10 is support look for 3961.50.

Alternative scenario

The downside breakout of 3917.10 would call for 3899.90 and 3889.60.

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 below its signal line. The pair could retrace. Moreover, the pair is trading under its 20 period moving average (3931.40) but above its 50 period moving average (3899.10).

Supports and resistances

3982.10 **

3971.80 *

3961.50 **

3951.30

3930.71 last

3923.90

3917.10 **

3899.90 *

3889.60 **

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