USD/CZK may rise 100 - 146 pips

22.997 is our pivot point.

Our preference

The upside prevails as long as 22.997 is support.

Alternative scenario

Below 22.997, expect 22.920 and 22.874.

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 above its signal line and positive. The configuration is positive. Moreover, the price is above its 20 and 50 period moving average (respectively at 23.024 and 22.966). Finally, the USD/CZK has crossed above its upper Bollinger band (23.074).

Supports and resistances

23.313 **

23.267 *

23.221 **

23.175

23.075 last

23.028

22.997 **

22.920 *

22.874 **

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