The EURUSD rose sharply on Monday and fell sharply on Tuesday. Today, there has been a further rotation to the downside that took the price below the 200-hour moving average currently at 1.0574. However, the low prices stalled right near the low prices from Friday’s trade. The price traded above and below the 200-hour moving average over the initial US trading session, but has since rotated to the upside. The price is now firmly in between the 100-hour moving average above at 1.06036 and the 200 hour moving average below 1.05742.
Buyers and sellers will now battle it out between those 2 moving averages. In between is the 50% midpoint of the range since October 13 low at 1.0594.
In the video below, I speak in detail about the price action and the risks/targets. Overall, the price action seems to have found support near support from last Friday. The sharp move up and sharp move down suggests the upside was not loved. Getting above the 100 hour MA (and swing area between 1.0608 to 1.0616 would change that idea).
This article was written by Greg Michalowski at www.forexlive.com. Source