The EURUSD sellers are making a play with a break below the 200-day moving average of 1.08442 (see green overlay line on the chart below). US yields are ticking higher and trading near session highs, increasing the USD in the process. The 10-year yield is up to 4.143% up 5.0 basis points. The 30-year yield is up 4.377% up 6.2 basis points.
Recall from last week, the price came down to test that moving average on two separate occasions and found willing buyers. Today’s break is a reflection of buyers turning to sellers.
On the downside, the next target comes between 1.0803 and 1.0824. Below that the 50% of the move up from the October low comes in at 1.07936. Below that is the 100-day moving average of 1.07669.
Sellers are making a play. Can they keep that momentum going?
This article was written by Greg Michalowski at www.forexlive.com. Source