EURUSD retracing gains and looks toward the rising 100 hour moving average

The EURUSD high stalled just ahead of the resistance near 1.1895

The EURUSD moved higher into the North American opening and in the process moved up to retest the 1.1895 area where swing highs from July 6, July 30 and again yesterday stalled the market.  

On Friday, the pair broke above that area on its way toward a new July high near 1.1908. However, the price rise reversed and after breaking lower, increase the bearish momentum.  

Yesterday, the price moved briefly above the level to a high of 1.18965, but once again quickly reversed and saw increased selling pressure.

Today, the sellers leaned ahead of the level, and have pushed the price to new NY session lows at 1.18727 so far. 

The next key target comes at the rising 100 hour moving average at 1.18678. The price last traded below that moving average on the volatility from the FOMC decision last Wednesday. A move below would be more bearish with the midpoint of the July trading range at 1.18629 as another target that if broken, would increase the bearish bias.

Close risk now can be eyed up to 1.18815 (watch 1.1877-1.18815). That was the swing high going back to July 9. Stay below should keep the sellers satisfied. 

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August 04, 2021 at 01:37AM
Greg Michalowski
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