The down trend remains in place although the sharp bounce from 84.85 to 90.75 does suggest a market which is (or at least was) quite short. We are now towards the top of this range so I still prefer a bearish bias but keep stops tight on a bullish range break and watch for a move above 92.25 as that will bring the downtrend into question.
I tend to think that any big downmoves in this pair are likely to be led by one of the crosses, with EUR/JPY the most likely leader.
Short term parameters, 87.40/90.75. Medium term, 84.85/92.25.
