The pair is currently forming a bullish pendent and is expected to trade between the green support and the red resistance bands until significant news cause the pair to break out, a close above 1.5150 would see the bulls reignite buying pressure as they hunt the 1.5190 resistance level. a close below 1.5080 would see the bears try take back some of the post ECB gains as they hunt the 1.5000 support zone.
The recent disappointing ECB release has led to the pair blowing through several key resistance levels, only to find resistance at 1.0980 level, where an onslaught of past support and significant resistance managed to hold the pair at bay as traders await further guidance from the ECB and the US. The current breather the pair is taking has resistance levels at 1.08856, 1.0950 and 1.0980 with support at 1.08535, 1.08346 and 1.08135, any strong data will see support being broken easier than resistance.
The pair is still trading in the range formed and maintained since the beginning of November, roughly between 122.50 and 123.5, as further direction is being looked for by both bulls and bears. current resistance levels are 123.315 and 123.50 to 1.2375 forming a resistance band , with a close above giving strong biased to the up side for the pair. a break below 123.231 with confirmation of the RSI crossing into overbought territories would signal bears are looking to retest the 122.50 support zone as they break through the 123.075 support.
Gold bulls were pleased with the ECB failing to meet market expectations and quickly drove the price up to just below 1090, with the NFP having no significant impact as the pair continues to trade around these highs, forming a pendant. a break above would open up 1090 and then 1097.83 as the bulls push fro the 1100 zone. a break below 1082, will see bears come out to play as they look to recapture 1072 and 1065.