Another kick lower for the euro

We've come through the 200 H4 ma at 1.0629, and are currently making moves to hold below and that brings the 100 55 dma on to the scene at 1.0606.

EURUSD daily chart

As always, there will be natural protection around the 1.06 big figure so look for that to start coming in around 1.0610.

The 50.0 fib of the Jan rally is at 1.0584 so that might add a cushion to any stop related drops through 1.0600.

Resistance now comes in at 1.0630/35, 1.0650 and then the highs at 1.0665/70.

A move below the 50.0 fib will raise my anxiety levels for my longs and they'll get worse the closer we get to 1.0500. With the wonders of hindsight, I can kick myself for not letting some off up at 1.0800+, even after highlighting the level many times. I can't do anything about that now so no point in moaning ;-)

I'm not liking the political noises coming out of Europe and this was one area of risk I knew about. I may decide to take of some of my higher priced longs in any decent rally between now and when we roll into March, just to reduce some risk. The expectations for LE Pen winning are fairly low but if the last few months have told us anything, the risk of the unexpected is much higher these days, especially in politics.