Despite recovery from the low of 103.16 (Wed low) and a positive move to 104.10 on Thursday, the subsequent failure in today’s Asian session at a high of 104.21 followed by a drop to 103.80 suggests the pair could revisit 103.16 – 102.80 levels before making another attempt at breaching the September high of 104.32 on daily closing basis.
On a larger scheme of things, only a daily close below 100-DMA level of 103.00 would bring in a more sustained weakness to 5-DMA, while a daily close above 104.32 would open doors for further upside towards 105.00-105.00 levels.