EURUSD down on the day and below an old double top, but buyers have some things to brag about too
The EURUSD moved up sharply on Friday on the back of the weaker than expected jobs report. In the process, the pair moved above double top ad 1.1323 area (see red circles) and also above a topside trend line.
Today, that trend line break failed and so did the break of the double top. The price moved lower and below another swing level at the 1.3003-084. We currently trade above those levels now (just barely).
For sellers playing "the top is in" card, getting below the 1.1303 (call it 1.1300), and staying below, is needed before a move above the 1.1323 level is achieved.
Taking a broader look at the daily chart, for longs the price still above the 100 day MA which is positive at 1.12718. The price is also just above a broken trend line at the 1.1303 level - increasing that levels importance today. Those things should scare shorts, if the failures above from the hourly chart, did not give shorts more confidence. Of note on the daily helping shorts is that the pair failed on the break above the 50% midpoint at 1.1338.
So the battle is on with the battle lines drawn. We as traders have to pick our side and hope for a break one way or another...
