The move down from yesterday into the early hours of trading today has been nearly all reversed (see chart below). The pair had good support at the 79.326 area where the 38.2% and lows from the end of June are found. The low could only extend to 79.52 before the price started its move back higher (helped by the AUDUSD rallying and risk on).
The price rise did find resistance near the high from yesterday and the underside of the broken trend line connecting most recent lows (see daily chart below) That level comes in at 80.62. The high today reached 80.67.
The holding against the 80.65-71 area was important. That level not only was the underside of the trend line, but also was a level where there are a number of lows and highs going back to June 29th (see 1-9 in hourly chart above). I would think that going forward, this area will be a level of importance for the pair with sellers against the level, and stops on a move above leading to increased upside momentum. If the price can stay below, the downside with 80.03 and then 79.50 and 79.326 become the focus.
