EURUSD trades corrects to the 38.2% of last week’s range and bounces

Price dips below the 100 hour MA but can’t stay below

The EURUSD last week moved above a swing area going back to 2018 between 1.2153 and 1.2164 (see daily chart below).  The move above reached 1.2177 on Friday, but the momentum could not be sustained. Keep that area in mind today and this week. Continues to be a swing area that if the price moves above, would tilt the bias more to the upside.  Getting above the high from last week at 1.2177 is also an obvious upside hurdle for buyers.

Price dips below the 100 hour MA but can't stay below

Drilling to the hourly chart below, the move back to the downside today saw the price dipped below the swing low from Thursday’s trade at 1.2100. Around that level was the 100 hour moving average (blue line) and that too was broken.

However, the fall could not extend with momentum below the 38.2% retracement of last week’s trading range. That retracement level came in at 1.20788. The low price today reached 1.20780 and bounced.

The last 4 hours has seen the price base against the rising 100 hour moving average (blue line currently at 1.21081). It would take a move back below that moving average level to tilt the bias back to the downside.

The price is currently trading at a new session high of 1.2141, with the swing area from the daily chart as the next upside target.

Summary: the intraday battle lines are defined with 1.2153 to 1.2164 as topside hurdle. On the downside getting below and staying below the 100 hour moving average at 1.21081 should see more selling on a re-break today.

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