The pair continues to show a strong long term favour to the downside. Lower Highs, Strong supply.
The market has struggled around the 1.25** level.
Currently trading near the upper of the upper of the short term resistance
and 38.2% fib, failure here would induce a sell signal and expectation for the
market to push on towards the first target 23.6% fib (1.2291),
second target 1.2160, third target, October market lows.
A Candle close above 1.2600 would encourage price action and demand to drive
market to 50% fib. Beyond this consideration should be given to the critical zone
and tightly compounded area of July lows and 61.8% fib.
Around this area expect a strong fight between .
Any break to the upside could be considered a change in long term direction.
Inside that range the battle will be fierce, lots of hurdles and resistance for buyers to get passed. Will be a blood bath. I prefer the short now, following market direction and range, if fails, wait to see if market breaks 1.2678 to the upside.