The EURUSD found support in London trading against trend line on the daily chart at 1.2906 (connecting lows from August 16 and October 1). The bounce off the level gave the shorts a reason to cover and the price has been marching higher since that time.
The price has now moved above the 50% of the days range which has taken the steam out of thoughts for a continued trend like move to the downside. Traders are simply not totally committed it seems. Yesterday afternoon lows and the Asian session lows are being approached at the 1.2963 level. The 200 bar MA on the 5 minute chart is here too (green line in the chart below) The close from yesterday came in at 1.2966. A move above this level will likely further disappoint shorts. However, look for some fight against the 1.2963-66 area with stops above, but it may take some further news or comments to get the pair back down in a meaningful way.
