The EURUSD has staged an impressive recovery, reversing the sharp declines seen earlier in the European session. The rebound in the US session has now carried the pair back up to test the falling 200-hour moving average—a level that acted as a key technical barrier earlier today.
Earlier in the day, during late Asian and early European trading, the pair attempted a corrective bounce, but sellers stepped in aggressively at the 200-hour moving average, using that ceiling to reassert downside momentum. That rejection paved the way for a fresh push lower. Now, however, with the market snapping back higher, the question becomes whether sellers will once again lean against this level to keep a lid on the pair.
The technical roadmap is clear: holding below the 200-hour moving average and sliding back under 1.17119 would likely flip intraday sentiment back in favor of sellers, reinforcing downside pressure. On the flip side, if buyers can push above the 200-hour moving average and then extend through the 100-hour moving average at 1.17279, it would mark a shift in control, tilting momentum more firmly to the upside and signaling that the buyers are regaining the upper hand.
At this juncture, the 200-hour moving average serves as the battleground between buyers and sellers, and the next directional move is likely to be defined by how price behaves around this pivotal level.
