Key resistance looms ahead
The 113.00 support level held on the downside (38.2% of the move down from the Jan 27th high). That kept the buyers comfortable and the sellers uncomfortable (see prior post)
As a result, we are seeing the price move to new highs for the day.
The pair is moving closer to the next key targets. The 100 bar MA on the 4 hour chart comes in at 113.379 and the 50% of the move down from the same Jan 27 high is at 113.476. That area should be a tough nut to crack on the first look. The buyers may look to take a little profit and see what happens.
On a break however, the pair does have further room to roam. The 38.2% of the move down from the Mid December high comes in at 114.276. That would be a modest correction target that would keep the bearishness from the December high still in place.
The 10 year yield is up testing 2.40%. The low reached 2.324%
Spot gold is down $10.71 or -0.85% to $1231.
The Nasdaq is trading at the highs (up 0.70% on the day). The S&P is also up by the same % amount.