EURUSD runs higher and moves back down (prints a new low)

Technical Analysis

Author: Greg Michalowski | eurusd

100 hour MA stalls the spike higher

The FOMC decision showed inflation remaining below 2% which means Fed Policy will remain on hold for years. At least that is the projection. The good news is they also see lower unemployment vs June and higher GDP this year (but lower GDP in 2021 and 2022).  

EURUSD on the hourly chart

The move in the EURUSD was congruent with the little good, little not so good. The price of the pair first moved higher. That rally stalled at the 100 bar MA at 1.1852. Nice stall. The price then fell to a new low talking out the prior low by 2-3 pips and bounced. The current price is trading at 1.1824. That is below the 200 hour MA.at 1.18315.

As it is right now below the 100 and 200 hour MAs, the bias is negative.  However, we know on FOMC days, the market can scoot  up or down.  A move above the 100 hour MA would be more bullish technically. 

On the downside, getting below the 1.1809 level (and staying below) is the key level.  Below that the 1.17947 would be the next target (low from September 10).


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