EURUSD retraces gains from yesterday moves back to swing area support at 1.05158

The EURUSD moved to a new high for the week in the early trading hours from the Asian Pacific market, but found willing sellers against topside resistance near 1.06097. That was the high of a swing area between 1.06005 and 1.06097. The price also stayed below its falling 200-hour moving average. That moving average is currently at 1.06009. The buyers turned to sellers.

The subsequent fall has taken the price below its 100-hour moving average of 1.05626 A move back above the 100 hour moving average would now be needed to tilt the bias back in favor of the buyers at least in the short term (with work to do).

The low price has extended to the low swing area seen over last four trading days between 1.05158 and 1.05316. On a break of that level, there still is other swing area supports going back in time to 1.0483 and 1.0500.

So sellers are taking control but moving into support levels. Can the momentum continue – and with it – increase the trading range for the day and the week in the EURUSD?

This article was written by Greg Michalowski at www.forexlive.com.