EURUSD remains in the ups and downs
The EURUSD moved higher in the Asian session but found resistance near an interim swing area between 1.1861-674. In the London morning session, the price chopped up and down but is trying to extend to the upside in early New York trading. However, the swing area continues to exert some upside ceiling tendencies.
It will take a move above the 108.6742 to give buyers a little bit more confidence as the market struggles with the overall up and down trading bias.
In the bulls favor is that last week the price moved back above its 100 hour moving average on Wednesday and did a good job of staying above that moving average. On Friday the low for the day stalled ahead of that moving average level (see blue line in the chart above). That was a clue in the favor of the buyers.
Taking a broader view of the market (but remaining on the hourly chart), since July 28th/29th, the price has been mostly within a range between 1.1710 and 1.19153 with a number of tests below and a number of tests above.
Needless to say we are in the upper half of that up and down trading range. Today, the price did correct below the 61.8% retracement of the range since August 6 but could not extend lower. That level comes in at 1.1837 and may be eyed as a swing/bias area today. Stay above is more bullish move below is more bearish PS, the price closed Friday at around 108.40 on the bid side. That too makes the level of interest for buyers and sellers.
Having said that getting above and stay above the swing area at 1.1861 to 1.18674 is important. Otherwise, the ceiling there just get stronger.
