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Following on from my earlier article, a failed daily close above this resistance reinforced a bearish view on the pair, which remains in a near-term downtrend. Assuming an entry price of around $1.1860, we have seen the pair already show signs of fresh weakness.
The pair is now testing support in the $1.1750 region and I feel stops should be a touch above $1.1900 until we get more clarity on whether this near-term support will hold. If this support fails to hold in the near term and a further slide occurs, I will be looking to trail stops lower.