Tests 100 bar MA on the 5 minute chart
The EURUSD moved above the last leg lower and stops were triggered (see prior post). The price has moved up to the 100 bar MA on the 5 minute chart (blue line in the chart below). This is between the 38.2% – 50% of the move down from the high to the low (1.0611 – 1.0625 area).
The move does not yet call the bottom for the EURUSD. However, it does take some of the downside pressure off and opens up the door for more corrective gains. A move above the 50% would raise more eyebrows from sellers and should lead to more corrective gains. So the market is a little bit more balanced now that some of the trend potential was alleviated.
