EURUSD bounces off the 38.2% retracement and stays above the 100 hour MA
The EURUSD is trading near unchanged after the pair rebounded off the earlier lows. The ECB kept rates and the statement unchanged. Lagarde is holding her press conference now.
Technically, the price broke lower in the Asian and London morning session, only to stall the fall
- just ahead of the 38.2% retracement at 1.13759,
- a swing area between 1.1370 and 1.13744 and
- the rising 100 hour moving average (blue line currently at 1.13674).
The holding of the 38.2% retracement of the move up from lost week's low on Friday, kept the corrective move lower within the minimum area (holding the 38.2% is a plain vanilla corrective move), and in doing so, keeps the buyers in play.
On the topside, however, sellers have shown up near the 1.14223 area. In trading yesterday, that level was the Asian session high. Later in the day, the level was broken and traders leaned (on the downside) near that level. The corrective high off of the lows today just reached 1.1424. It would take a move back above that level to give the buyers more confidence that the bottom is in place.
Watch the 1.1400 level for intraday clues. Yesterday afternoon that level held support in the early Asian session it also tried to hold support today before eventually giving way.
