Unus Sed Leo (LEO) broke out and closed (UTC time) above $1.04, thus completing the inverse head and shoulders pattern on March 30. This triggered our buy recommendation given in an earlier analysis.
Though the bulls have maintained the price above the breakout level of $1.04 for the past two days, the failure to run up shows hesitation at higher levels. If the LEO/USD pair fails to pick up momentum, the bears are likely to sink it back below $1.04.
If the price slides below $1.04, the first support is at the 20-day EMA at $1.016, and the second at $1. If the bulls fail to defend these support levels, the pair is likely to dip to the 50-day SMA at $0.987 or below it, to $0.95. We suggest traders trail the stops on the long positions to $0.097.