The EURUSD is cracking lower and looks toward support near 1.1184.
The move to the downside is moving away from its 100-hour moving average currently at 1.1228. Admittedly, the price action today has seen the EURUSD price move above and below the moving average in the Asian and European sessions, but the US session high has been able to stay below that moving average level (blue line in the chart below). The last hour of trading has seen increased momentum to the downside.
What would keep the momentum going?
On the daily chart, a swing area defined by a swing low in November 2021 and a swing high from March 2022 comes in at 1.1184. A move below that level would give sellers another short-term victory that should see further downside probing.
The 200-hour moving average currently at 1.11227 (and moving higher) would be a potential target on further downside momentum.
So sellers are making a play. Can they keep control and take more control by getting below 1.1184? That is the next downside hurdle for sellers.
Conversely for buyers, the 1.1184 level is a level to lean against in the short term.
This article was written by Greg Michalowski at www.forexlive.com. Source