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The exchange rate has bounced off the lows at 0.9620 and I’m cautiously bullish. Given the strength so far the move will probably extend to the upper channel line of the fall at 0.9815. ADX is also over-extended with a 57 reading – indicating that the down-trend may be exhausted and a phase of less directional movement is on the horizon. The clear zig-zag down from the all time highs at 1.1076 may have completed, as legs A and C are showing perfect equality. This could also mean the bounce may extend. A resumption of the move down short-term, however, would likely target the former lows at 0.9620.