Further sell off saw the cross breaking and holding below the 0.8355/38 levels on Wednesday and opening the door for more weakness. This development sees a continued hold below the 0.8355/38 level creating further bearishness towards the 0.8284 level, its Jan 10'2011 low. Further down, its psycho level at 0.8200 will serve as the next support on additional declines. Its daily and weekly RSI are bearish and pointing lower suggesting further declines. Alternatively, on any recovery higher, its broken support at the 0.8355/38 levels and the 0.8485 level should reverse roles as resistance and turn the cross back down. However, if these levels fail to hold, its Dec 08'2011 high at 0.8560 could be targeted where a breach will expose the 0.8616 level and then the 0.8794 level, its Sept 21'2011 high. All in all, bear pressure remains intact with risk of further weakness towards the 0.8284 level growing.
Daily