Back above the 100 hour MA/trend line. That is close risk for longs now.
The EURUSD tried to restart the downside, after the correction higher into the close. That move lower in the Asian-Pacific session took the price down toward the 200 hour MA. Remember, the price had not been below that MA line since Jan 11. The price stalled against the level and started the rebound.
The GDP in the EU was a decent 0.6% MoM and 2.7% YoY. That helped to push the pair higher. Add some dollar weakness as well.
The price technically moved back above the 100 hour MA (blue line at 1.2409) and that is close risk for longs now.
Lower Germany inflation dipped the pair back to the MA (and old trend line) and we are seeing a bounce from that level.
Traders are trading this pair. The market is reacting to things like MAs/trend lines. Right now the price is back above the 100 hour MA. That give the buyers more control and defines the risk.
Looking at the daily chart, the 1.2470 is the topside trend line. That trend line was broken twice last week, but failed each time. That is an upside target. I would expect a stall on a test if the buyers can keep the momentum going.
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