The EURUSD moved lower in a pre-Fed move (below trend line support on the hourly chart below) rallied on the news above the key 61.8% at 1.2933 (high reached 1.2961), corrected all the way down toward the trend line support at the 1.2882 area (low reached 1.2877) and is now back above the 61.8% key level again (at 1.2933). No one said it would be pretty.
Support will not be eyed at the 1.2933 level. The next target is the 1.29737 level and above that 1.3000 area. Ironically a move to the 1.2973 today would give a 118 pip trading range for the day. That was the range from the last FOMC rate meeting.
Of course the Fed Chairman’s press conference is still to come, as are the central tendencies for GDP, Employment and Inflation. The comments should be in line with the actions. We will see if the dollar selling continues through his comments (EURUSD higher). Watch 1.2924-33 as support now (this is the risk). Stay above and the buyers remain in control. MOve below and something is up.