Currently sits at the lows for the day at 1.1183
The run lower yesterday stalled at the near-term trendline support as well as near the 38.2 retracement level @ 1.1165. Price then ran back above the 1.1200 handle before falling again in the past few hours below the trendline support.
The back-and-forth action isn’t really telling us much about where the pair is headed next as price continues to sit in a precarious position for the time being.
Of note, any further upside move requires a break above the 100-day moving average @ 1.1228. Meanwhile, any firm break to the downside requires a move back below the key hourly moving averages – seen closer to 1.1137-45.
Essentially, price is trading right in the middle of those key levels at the moment. However, the break below the near-term trendline support is encouraging for sellers. If they can build on that momentum and chase a move below yesterday’s low, then a move to test the 100-hour MA (red line) and 200-hour MA (blue line) is on the cards.
I reckon the next key directional move will be to go with either a break of the risk levels outlined above. For now, it’s hard to draw any conclusions from price action over the past twelve hours or so.