EURUSD moves toward a crossroad with 200 day MA, 200 week MA, and swing levels all clustered in a narrow range

Technical Analysis

Author: Greg Michalowski | eurusd

The initial test stalled the fall...

The initial test stalled the fall...
The  EURUSD also fell on the Fed comments and in the process moved to test a key cluster of support highlighted by the 200 day MA at 1.13483. Below that are swing levels in the 1.1343-469 area nad the 200 week MA at 1.13444 this week, make for a tough area to crack (see earlier post here). 

The low just reached 1.1350 and have seen a modest bounce (at least so far). The holding of the area on the first test, increases the areas importance.  A move below is still needed to push lower.  A break could, however, lead to stops and a bigger scoot to the downside. 

The move lower today was started when the price could not get above a flattter topside trend line (see green numbered circles). The break outside the channel also helped (the price tried to get back in the channel but those efforts failed).  Now key support below has to hold to keep the bulls happy. So far, that is the case.  
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