The exchange rate formed a small triangle visible on the hourly chart. It broke out above the highs and temporarily rallied, but it has since lost momentum and fallen back down to support in the 1.2920s. The upside breakout now seems to have petered out.
The overall trend remains bearish, and will probably continue lower. A break below the 1.2870 lows would signal an extension down to the next target lower, situated at the major lows at 1.2750.