Topside move runs into near-term resistance at 1.1112
Price moved higher from around 1.1080 levels to a high of 1.1113 but the topside move remains limited by near-term resistance around 1.1112 for the time being.
The data headlines were decent but the details offer less reason to be cheerful. As such, I don't expect any reprieve for the euro to be long-lasting in the bigger picture. That said, for now perhaps large expiries at 1.1100 is helping to "trap" price action at the figure level.
At the moment, the risk for buyers can be defined by the 100-hour MA (red line) @ 1.1091. If price falls back below that, sellers will regain near-term control of the pair. However, any downside move needs to get past support around 1.1070-80 to run further.
Meanwhile, if buyers can start to establish a move past 1.1112 and above the 200-hour MA (blue line) @ 1.1128, perhaps we could see price run higher towards a test of the near-term trendline resistance (white line).
In such an event though, I'd be more comfortable fading the move than go chasing it higher given the current context. Let's see what Jackson Hole brings and whether or not it'll change the picture here.
