The EURUSD moved lower after the stronger-than-expected PPI data this morning, but the fall was short-lived and the price snapped back higher. The price higher ended up extending above a key swing area between 1.0608 and 1.0616. That "goosed" the price higher to the next target area near 1.0631 – 1.0635.
Sellers entered in against that area, and pushed the price back below the swing area down to 1.0608. Perhaps the ghost of the CPI release scheduled for tomorrow at 8:30 AM, gave traders a reason to back off the dollar selling vs the EUR.
The price is currently trading at 1.0602. The downside, the rising 100-hour moving average and 38.2% retracement near 1.0571 cannot be ruled out as a target between now and 8:30 AM tomorrow. The sellers now leaned against the 1.0616 level? I wouldn't be surprised.
