EURUSD works toward the 50% retracement after it got its shove higher.

Technical Analysis

Author: Greg Michalowski | eurusd

Pair broke above its 200 hour moving average and moved higher  

The EURUSD was another pair that was mired between support and resistance earlier in the day and looking for a shove (see post here).  The topside resistance was against its 200 hour moving average (green line) at 1.08978 currently. The downside support - which was tested earlier in the day - was at 1.08452 (blue line).  Between was a swing high at 1.0887 area.

Pair broke above its 200 hour moving average and moved higher  
There was a 3 step process for further upside momentum including:
  • Step 1. Getting above the 1.0887 level
  • Step 2. Getting above the 200 hour moving averages 
  • Step 3. Getting and staying above the 38.2% retracement at 1.09124. 
All 3 of those targets were taken out. The high price extended to 1.09447.

The next step/target would be the 50% retracement at 1.09571. Close risk for traders looking for more upside would be the broken 38.2% retracement at 1.09124 or the 200 hour moving average at 1.08978 currently. Stay above those levels and the buyers still have the control at least from it intraday/shorter term prospective (with the 50% level as a key hurdles to increase the buyers bias.
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