EUR/USD sellers maintain near-term bearish bias; US retail sales data eyed

Technical Analysis

Author: Justin Low | eurusd

EUR/USD is challenging the 200-hour MA but so far sellers are winning out

EUR/USD H1 14-06
The pair briefly hit a session high of 1.1289 but sellers are continuing to hold a defense of the 200-hour MA (blue line) @ 1.1287, thus maintaining near-term control in the pair. Despite the slight extension higher earlier, price action remains rather muted today with the range only a mere 19 pips.

Markets are a little quieter on the session as traders continue to wait on the release of US retail sales data for more clues about the US economy and the Fed rate outlook. That will only come at 1230 GMT later today.

For EUR/USD, of note there are also large expiries lurking at 1.1300 (€4.4 billion) so that may play a part in limiting price action before they roll off later today. The 100-hour MA (red line) is another key near-term level to watch out for later ahead of the US retail sales data. That currently sits at 1.1305.

As for downside levels, there is some minor support from yesterday's low near 1.1270 and light bids lurking around 1.1245-50. It'll all depend on how markets react to the data later so be mindful of these near-term levels as a break could help to see a larger trend develop.

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