Yesterday posted a note and this is a follow up. Usually we recommend either to go short or long once price pushes above/or below 25% zone..now price printed a new lower low from Jan14 lows about 6 month low. next major downside resistance will be November low. It may bounce off from this level but the size of the candle is scary. I would not be surprised if it price pushes back to 1.33982 before we see any significance rebound fro current downward . Current candle confirms recent 7/15/14 and 7/16/14 drops respectively. If price rebounds and reclaims 1.35500 buyers can have confidence in the recovery, til then, downside is stronger and sellers have the upper hand since early may. When this will end depends on several and boiling issues around the globe. If you like, follow us.
I agree with your chart, although, I believe sellers will continue to have the upper hand. Please see the above chart. Price just broke the 382 fib taken from July 2013, and looking at an hourly chart PA just broke out of a range as well. Also, 1.3500 area is below the bearish trendline, so in the short term the sellers will continue to have the upper hand. (I know I am using a hourly chart to compare to your daily.)