Marches toward US election day highs
The EURUSD reached on high (dollar low) at the 1.1299 level on the US election news that Trump won the Presidential election. The day closed at 1.0888, and the Trump dollar rally continued until bottoming on January 3rd at 1.0339.
Today we are trading at the highest level (once again) since that that November election day. The last 5 days has now seen the pair trade at progressively higher levels. In the process the market price is getting closer to taking out that high. That level - and the 1.1279-83 (highs from Sep 9, 15 and 26) before it - are the next key targets off the daily chart.
Drilling to the hourly chart, the price extended above trend lines connecting recent highs (going back to May 8th). Those levels come in at 1.1217 and 1.1226 currently. The high just reached 1.1249. Getting in the way of further gains might be the option expiration today. Mike has 1 B expiring in the 1.1240-50 area and 1 bln at 1.1225. The market may look to settle in that range until 10 AM at least. Nevertheless, the bulls are in control above the 1.1217-26 area now.
Buyers in control. Option expires in play (perhaps). 1.1300 key target to get to and through. Support (risk) for longs in the 1.1217-26 area.
