EURUSD retraces to resistance target and the 38.2% retracement

The EURUSD moved higher helped by the headline news that US and Mexico have come to a 1-month truce on tariffs. That weakened the USD, has helped stock recover. Yields remain lower.

Technically, the price of the EURUSD has moved to test the 38.2% of the move down from last week’s high at 1.05325 to the low today at 1.02095. That level comes in at 1.03329. The price also moved into a swing area between 1.0332 and 1.03431. If the buyers are to take more control getting and staying above that area would give the buyers more confidence, and the sellers some cause for pause.

Conversely, stay below that area keeps the sellers in play.

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