The daily chart now shows lower highs have been established and the falling trend line (red) will act as a strong resistance around 1.14 handle.
Moreover, a day end closing above this week's high of 1.1415 is required to signal invalidation of falling tops formation. Also note, the turn lower from 1.1415 marked another failure to take out key resistance zone of 1.1430-1.1534.Failure to sustain above this had resulted in a sharp drop last month.
The daily chart also shows the blue trend line support has been breached. So bears could have fun out there today. 1.1283 is immediate support followed by 1.1236.
On a larger scheme of things, a day end closing below 1.11 would confirm lower highs and lower lows formation and shift risk in favor a drop towards 1.07 handle.
Moreover, a day end closing above this week's high of 1.1415 is required to signal invalidation of falling tops formation. Also note, the turn lower from 1.1415 marked another failure to take out key resistance zone of 1.1430-1.1534.Failure to sustain above this had resulted in a sharp drop last month.
The daily chart also shows the blue trend line support has been breached. So bears could have fun out there today. 1.1283 is immediate support followed by 1.1236.
On a larger scheme of things, a day end closing below 1.11 would confirm lower highs and lower lows formation and shift risk in favor a drop towards 1.07 handle.
