EURUSD dips below lower channel trend line

Technical Analysis

Author: Greg Michalowski | eurusd

EURUSD losing some upside momentum today

The EURUSD is losing some of its upside momentum today and in he process has dipped below a lower channel trend line. The underside of that trend line was retested in the early NY session, but backed off.   A flatter upper trend line was developed today that implied a tired market (lacked the slope of the channel to the upside).  That helped contribute to the buyers giving up and some profit taking (ie..selling).  

EURUSD losing some upside momentum today
The price is not really running on the break below the lower trend line (the low for the week is still down at 1,13637 with a low today of 1.13759), but it is a shift in the technical bias. 

Traders will now be watching to see if the price can stay below the broken lower trend line now. If so, the 1.13622 (38.2% of hte last leg higher) will be eyed. That is near the low for the week.  Below that the important 200 day MA at 1.1348, swing highs from June 7 and June 12 at 1.12469 and 1.12431 respectively and the 200 week MA at 1.12444 this week, make for a tough area of support (1.1243 to 1.12482).  

A move back above the broken lower trend line and the close from yesterday at 1.13975, will muddy the water technically for the pair.  

ForexLive
By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose