The EURUSD is trading at new session lows and lows for the week. In the process, the pair is testing the high of a swing area near 1.0847 and the 61.8% of the move up from the February low to the March high at 1.08036. The swing area extends down to 1.07955 (see red numbered circles). A move below that area – and staying below – opens the door to more downside probing.
If buyers can support the pair here, it would take a move back above the 50% of the move up from the February low at 1.08374. At that same level is the 200-day MA increasing the levels importance. Sellers today moved away from that area. I would guess that if the price does move back above that level, sellers may look to shift back to buyers with the 100-day MA as the next key target.
To get your arms wrapped around these levels, watch the video above.
This article was written by Greg Michalowski at www.forexlive.com. Source