EURUSD consolidating but keeps bearish short term bias

The day is coming to a close. The EURUSD price is lower on the day. Having said that, the US session saw up-and-down price action. Although the pair was confined, the sellers have been keeping control.

Looking at the 5-minute chart above, the EURUSD found sellers in the US session (see red box on the chart above) near the day’s midpoint at 1.07313, and also near the falling 200 bar moving average on the same chart (green line).

Those dynamics in the short term kept the sellers more in control despite the ups and downs.

The 200-bar moving average currently comes in at 1.07265. The 100-bar moving average (blue line) is at 1.07219. The 100-bar moving average has seen a number of moves above and below that MA today, but has closed the last hour of 5-minute bars below that MA line (see blue line) Sellers remain in control.

Admittedly, were heading into the new trading day, and that can lead to more consolidated up-and-down price action. Nevertheless, if the price were to stay below the 100 bar MA, that is the best case in the short term for the sellers. If that level is broken, it would still take a move above the 200-bar moving average at 1.07265 currently (and moving lower), to give the buyers some control in the short term. Absent, the sellers remain in control.

Looking at the daily chart, today the price fell below a key swing area low at 1.07509. If the 200 bar moving average is broken in the short term, that level would also need to be broken to disappoint sellers looking for more downside momentum.

The next key target on the EURUSD comes in at the 38.2% retracement of the range since the 2022 trading below at 1.0610 (see chart below).

For a video analysis of the EURUSD from earlier today click on the video link below:

This article was written by Greg Michalowski at Source