The pair is now strengthening slightly following its marginal loss on Tuesday. However, the challenge is for the pair to overcome its short term declining trendlinepresently at 82.84 and the 83.65 level, its Jan 07'2011 high. Above the latter will open the door for more recovery higher towards the 84.50 and subsequently the 85.92 level, its Sept 12'10 high. Price hesitation is likely there but if that level fails and a break above it occurs, we should see further strength targeting its 50 emaat 87.54. Conversely, as long as it continues to trade and hold below its falling trendlinethere is a risk for further weakness towards its 2010/11 lows at 80.90/23. Below that zone if seen will resume its broader long-term weakness towards its 1995 low at 79.75 and next the 78.00 level.
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