The EURUSD in the NY session, opened near its 100-hour MA (blue line in the chart below). Sellers could not push the price below that moving average, and sellers turned to buyers.
The subsequent move higher worked its way toward a topside swing area between 1.0551 and 1.05572. The high price reached 1.05571. Sellers leaned, and the price rotated back lower.
The pair currently trades near 1.0540.
With support defined against the 100-hour moving average, and resistance defined against the tide of the swing area, traders are awaiting the next to shove. Move above 1.05572 would have traders looking toward the 38.2% retracement of 1.0571. Getting and staying above that level is key to giving the buyers more confidence that the upside is the preferred bias.
Conversely, moving back below the 200 and 100-hour moving averages (100-hour moving average of 1.05215), would have traders looking toward the swing area between 1.0483 and 1.0496.
This article was written by Greg Michalowski at www.forexlive.com. Source