The pair continues to show a strong long term favour to the downside. Lower Highs, Strong supply. The market has struggled around the 1.25** level. Currently trading near the upper of the upper of the short term resistance and 38.2% fib, failure here would induce a sell signal and expectation for the market to push on towards the first target 23.6% fib (1.2291), second target 1.2160, third target, October market lows.
A Candle close above 1.2600 would encourage price action and demand to drive market to 50% fib. Beyond this consideration should be given to the critical zone and tightly compounded area of July lows and 61.8% fib.
Around this area expect a strong fight between supply and demand. Any break to the upside could be considered a change in long term direction.