Well... it did move a pip or two above
The EURUSD tested the 100 hour MA for the 2nd time today. Earlier, the price ticked a few pips above the moving average. This last look did the same with the MA at 1.09322 and the price high coming in at 1.09349.
The price has dipped back lower to the 1.09128 level. More importantly it shows "the markets" willingness to keep a lid on it. That lid can eventually be broken (look for momentum...not the ticking back and forth we saw on the break this time) of course. But until then, the sellers hold the winning hand.
A move below the 1.0893 (low from last week) and staying below, will be a sign that the sellers remain in control.
PS. Traders take note that there is a pretty important US employment report released at 8:30 AM ET tomorrow. As a result, the risk will increase and be sky high at 8;30 AM as not only will there be market risk (which is what we experience all the time), but also liquidity and event risk (which we don't have all the time). When risk is sky high, I warn traders to stay away. The name of the game is to stay in the game. Big surprises from key events cause big losses. So trades like this one, are meant as such...just short term trades. So take profit, book beer money and be happy.
AFTER the event, the 100 hour MA and ceiling area will be an important risk defining level, however. So it is important to know why it is important.
