Prices invalidated a Bearish Engulfing candlestick pattern and are now testing through resistance in the 9928-38 area to challenge the top of a falling channel established from the June 1 swing high (9945). A break above this boundary initially targets the 23.6% Fibonacci expansion at 9976. However, a Harami candlestick pattern warns of a possible near-term pullback. Rising trend line support is now at 9877.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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