EURUSD trades to new session highs

Technical Analysis

Author: Greg Michalowski | eurusd

Some good. Some bad. Low inflation

The EURUSD is trading to new highs after a GDP report that has some good and some not so good. The Fed has implied that the Fed would tolerate higher inflation. The inflation data out of the report was not worrisome.  Growth was helped by inventories and trade. Can you count on them? Consumption was 1.2% which was better than expectations at 1.0% but it was still 1.2%.  

EURUSD is above a trend line at 1.1141
Technically, the EURUSD is above a topside trend line on the hourly chart. The low off the reaction, bounced off the swing low area from May and June at 111.08-18. The low reached 111.094 on my chart.  

If the price can stay above the broken trend line at 1.1141 currently, that would give the buyers some hope. The 38.2% of the move down this week comes in at 1.11674.  

The week for the EURUSD has seen steady declines since Tuesday after the rally on Monday stalled at the 100 hour MA (that got the bearish move started).  Thursday moved to support at the 2017 swing lows and stalled. Today that swing area was tested again.  It's Friday. That makes me nervous about a correction.   Does it worry "the market" too?

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