Below 1.16109 is more bearish. Move above 100 day MA at 1.16557 would be more bullish
The EURUSD traders have set the support and resistance - at least in the short term The levels come off the daily chart.
Looking at the chart above, the close support comes in at 1.16109-1.16142. That area was the lows from September 25 and September 28th. The low today has reached 1.16212.
On the topside, the pair fell and closed below the 100 day MA on Friday for the first time since May 25th. That MA comes in at 1.16557. The high price today reached 1.16552 today.
Taking a look at the hourly chart below, the price action below the 100 day MA (overlayed on the chart below) shows the sellers against the MA level. It will take a move above to tilt the bias back higher.
For this week, the uncertainty from the election, Brexit, Covid, etc will have traders on edge and subject to the headlines, speculation, tweets, etc. Technicals become a thing to lean on to give a bias from "the market".
"The market" is the collection of all traders who decide the price should be here (and move the price to there in the future).
The "markets' bias (bullish or bearish) can change through the use of technical "tools" that are used by many, that are unambiguous and define risk.
Trend lines, moving averages (100 and 200 bar for me) and retracements are technical tools, that can be used to help define the bias and changes in the bias too (from bullish to bearish and visa versa).
I suggest you pay attention to the tools if you choose to trade through the haze and uncertainty from the events this week and even so, be aware liquidity conditions has the potential to cause havoc. Risk is at elevated levels.
