Back and forth after break lower failed
The EURUSD has retraced all the way back to the resistance area defined by the trend line and the 100 hour MA. That area comes in at 1.1284-90. Yesterday, the 100 hour MA (blue line) was broken, but the trend line stalled the rally. The levels are reversed today with the 100 hour MA above the trend line.
The squeeze higher came after a lower trend line was broken (at the time of the economic releases and Coeure comments). Sellers could not be sustained. Weaker IP and Capacity Utilization helped to push the pair back higher, but there seems to be a limit as the price is now backing off the topside resistance areas.
Chop. Chop. Chop. Its Friday and that may contribute to more chop too.
