Quick pullback from 1.2580, yesterday’s strong rally peak, sidelined strong upside potential and shifted near-term focus lower.
The pair dipped to 1.2470 so far, where rising 20SMA offered support. However, downside remains at risk, as near-term technicals are weakening and bearish momentum building on daily chart.
Extension towards key support, daily cloud (spanned between 1.2400 and 1.2442) would further weaken the structure and risk return to Tuesday’s spike low at 1.2345.
Daily Tenkan-sen is again acting as resistance and marks strong barrier at 1.2525. Only firm break above here would revive hopes of fresh attempts at 1.2567/80 upper pivots (Fibo 61.8% of 1.2704/1.2345 / Wednesday’s spike high).
Res: 1.2500, 1.2525, 1.2567, 1.2580
Sup: 1.2470, 1.2442, 1.2400, 1.2345
