The EURUSD retraced toward the 1.10265 low from August 1
The EURUSD had to remain below the 1.0962 trend line to keep the sellers in control (see post from yesterday outlining the border line for bulls and bears). Yesterday the pair move above those levels and closed above at 1.0972. Today the low could only get to 1.1068 level before there was more covering in the pair.
Now, the move back above the broken trend line at 1.1062 area has helped the buyers. However, the pair still has hurdles ahead. The August 1 low at 1.10265 is the next key target. The high today stalled just ahead of that level at 1.1023. We currently trade down at 1.1016.
Drilling to the hourly chart below, the pair moved above its 100 hour MA today at 1.0998 level. That MA is currently at 1.10951 (and still moving lower). Sellers against the 1.10265 level will want to see the price move back below the 1.1000 natural support level AND that 100 hour MA at 1.09951. A move below is needed to tilt the bias more to the downside.
A move above the 1.10265 will look toward the 200 hour MA (and 50%) at the 1.1043-47 area. Also at that area is the swing low from August 23 at 1.10478.
