Failure above the 200 hour MA tilted to story back to the downside.
As the North American started, the price of the EURUSD moved up to test (and even break) the 200 hour moving average at 1.18461 (see green line in the chart below). The high reached 1.18490. See earlier post here.
That test of the 200 hour moving average failed, the price move back below the broken 38.2% retracement and broken trend line and the price has continued to the downside. We are just now breaking below the 1.18 level trading to a New York session low of 1.17971. In doing so, the price has reached back to the unchanged level from Friday's close at 1.1796.
Drilling to the 5 minutes chart, the price fell below the 100 bar MA on that chart (blue line) and then retested MA line. When the price stalled just ahead of that moving average line, it showed sellers taking control. The price ultimately moved back below the 50% retracement of the move up and the 200 bar moving average on the same chart at 1.18119 (green line in the chart below). The 200 bar moving average is now close risk for sellers. Stay below is more bearish.
The low for the day came in at 1.1784. The 1.1781 is a swing low level going back to August 14. Below that and traders will be targeting the low from last week at 1.17533.
