EURUSD chops up and down (but stays above the 100 hour MA)

Technical Analysis

Author: Greg Michalowski | eurusd

The 100 hour MA comes in at 1.14214

The EURUSD is chopping up and down  in a narrow trading range today (47 pips vs the 22 day average of 76 pips).  

The 100 hour MA comes in at 1.14214
The high for the day took out the high from yesterday at 1.14672. However the high price could only reach 1.14692 before sellers reentered and push the price back down.

The two swing lows for the day bottomed just ahead of the rising 100 hour moving average at 1.14214 (blue line in the chart above). The current bars low reached 1.1424 just 3 pips above the moving average level.  

Recall from yesterday (and from Thursday and Friday), the price did dipped below the 100 hour moving average (red shaded areas around the blue line), but failed fairly quickly.  Today, early buyers came against the level. 

Nevertheless, the 100 hour moving average remains a key barometer for the buyers and sellers.  Stay above keeps the buyers in play and in control.  Move below and should see further downside selling momentum.  

Having said that, on the topside there is work to be done by the buyers if they are to keep control and push the pair even higher.  The swing highs from yesterday and today are doing a good job of creating  a ceiling between 1.1463 and 1.14692 (see red numbered circles and yellow area). It will take a break above those levels to solicit more buying.

For bank trade ideas, check out eFX Plus
By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose