Buyers sticking toe in water
The EURUSD fell through the low from yesterday and other swing levels from earlier this month (see red numbered circles). That should have solicited more selling. It did not. Sellers failed. Buyers are taking more control. On the hourly chart, if the level can hold, the 61.8% of the 2019 range at 1.1406 and a topside trend line at 1.1412 are the next targets to get to and through.
Drilling to the 5 minute chart below, the 100 and 200 bar MA are being tested now (around the 1.1400 area). The price has been moving above and below those MA today. If the price is to go higher, traders will be lookig for another break of those MA, and a continuation through the trend line and the 38.2% retracement of the move down from yesterday at 1.14197. That is the minimum.
In summary, the sellers had a shot to push lower. They took out the low and the swing levels but FAILED.
The buyers are now trying to show they can take more control, but they too need to prove that they can take the price above the 100 and 200 bar MA on the 5-minute chart at the minimum.
Time will tell.
