This pair loves to range trade and the immediate downside pressure was eased last Thursday and Friday when some of the weaker long positions amongst retail players and CTAs were squeezed out. There is a barrier in place at 79.00 which provides an obvious downside support point and there is technical resistance (61.8% of 80.40/79.10) near 79.90. I’d play this range for now.
Overall though, I remain very bearish on this pair in short-to-medium term as I think the big macro longs will get squeezed when we near illiquid December trading conditions, so I’m happy to play this range and hopefully build my short trade into a strong position (you can follow this in the members section).