The pair moves toward the 38.2% retracement target and 200 hour moving average
The EURUSD has been trending higher in trading today after breaking above a topside trend line and bottoming yesterday near the lows from Friday (forming a floor).
The run to the upside has been able to crack above the 100 hour moving average (blue line in the chart above) at 1.08520. The price is also trading back above the 1.0900 level, and a swing area between 1.0887 and 1.09024. The pair is currently testing the 38.2% retracement of the move down from the March 27 high. That level comes in at 1.09124. Getting above the 30.2% retracement is the minimum if the buyers are to take back more control.
With the price above the 100 hour moving average, it puts the pair between that moving average (at 1.0852) and the 200 hour moving average (green line) above at 1.09387. On further upside momentum that moving average will be the next upside target.
Taking a broader look at the daily chart, the lows over the last 3 trading days have been near the swing low from February at 1.07768. Friday's low came in at 1.0772. The low yesterday reached 1.0768. Today's low was above the February low at 1.07827. Failure to extend lower with momentum has helped bottom the pair. Needless to say, the volatility of the last few months in the EURUSD has been significant.
