The EURUSD has pushed above the 100 bar MA on the 5 minute chart at 1.2464. In a trend move (like we have had today) a move above this MA is an important step for the counter trend traders (this was the first breach today). The next step would be to start to overtake old highs and move toward retracement targets (see chart above). If the levels can be overtaken, the correction can continue.
The trend is down today. The price did fell below good support at the 50% of the move up, and 200 hour MA. That move could not be sustained and the price is now above both those levels. This can switch the bias to buying dips at least until a higher level attracts sellers again (look for 1.2487 – 38.2% of the move down today to slow a rally today). Stay above what was resistance (200 hour MA is at 1.2461, 50% is 1.2455), and the price can correct higher. Move below, and the sellers can simply laugh and say “Is that the best you can do?”.
