Can the 1.1089-82 area in the EURUSD hold support HERE
The EURUSD is a crossroad area. That area is defined by swing highs going back to November 6 (see yellow area and red numbered circles). The area comes in between 1.10894 and 1.10924. We currently trade at 1.1092.
Now.... the price has traded above that area briefly on November 21 and with more momentum in trading yesterday (that failed), and again today(over the last 5 or so hours).
If the price is to go higher from here, I would like to see this swing area holds support now and then rotate back above the 1.1100 level (home to the 61.8% retracement).
If this area cannot hold and instead saw more price action below the 1.10894 level, I would look for buyers to turn to sellers, and the price to rotate back down toward the 50% at 1.1077 and potentially the 100 day moving average at 1.10661.
The price over the last few days has been able to find support buyers near that 100 day moving average (give or take a few pips). That has kept the bulls in play despite the up and down action (especially in yesterday's volatile up and down moves).
Key crossroad for the EURUSD right here. Can the support swing area hold?
