EURUSD trades to new session lows and makes it to the 100/100 hour MAs

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The 100 hour MA at 1.16627 and 100 day MA at 1.16679

As per my earlier post, the EURUSD sellers showed their stripe with the failure on the new month highs above 1.17214 (see post here). The high today took out the high from last week at 1.17214 but only by 2-3 pips (see red circled numbers). The selling began.

The price fall has taken the price to the 100 day and 100 hour MAs at 1.16627 and 1.16679 respectively and are seeing some buyers leaning against the level on the first test. The low just stalled at 1.1664.

As noted in the prior post:

“What will make the picture more bearish is a break below the 100 day MA at 1.16679 and the rising 100 hour MA at 1.16618. Those are the targets now on more selling. I don’t think that break will be easy, but it seems the dollar selling momentum has eased and if the rally has run it’s course for now, a break below that MA would spoil the mood for the EURUSD bulls.”

The mood is not fully spoiled yet , but the gains of the day have been erased and the pair trades in the red (closed at 1.1681).

A break below will target the 38.2% at 1.1648 area. The 1.16438–49 is a swing area too.

ForexLive

This article was originally published by Forexlive.com. Read the original article here.