The EURUSD is in a 38 pip low to high trading range. It is also bound by a slightly upward sloping channel. The low for the day is 1.2181. The high comes in at 1.2219. It is likely the range will be extended.
On the downside, a move outside the reand will next look toward the low from yesterday at the 1.2166. Following that and the 1.2131 starts to become the focus. THis is the 50% of the low to high trading range for the EURUSD going back to the 2000 low and the 2008 high.
With the range so narrow, the low or high can be where the extension takes place. If the low holds, the market traders could just as easily reverse course and head higher. So be aware and follow the clues. The markets inability to move to this point is indicative of a market that is not sure of direction at this level.
