Yesterday's rise, sees a retracement lower.
The EURUSD came off the highs yesterday into the close (closed at 1.1292 - watch this level today) and the Asia Pacific session saw the price go sideways. In the London morning session, the price had to go somewhere as the range was only about 30 pips. It eventually settled on the downside. That fall stalled near the 1.1256 level (we broke above that level yesterday - it is the 61.8% of the move down from the August 2015 high - see chart below), and stalled near the 38.2% of the weeks move higher.
Note on the 5-minute chart how the 100 bar MA on the 5 minute chart just held corrective move higher. That MA and the close from yesterday at 1.12918 will be levels I will be watching for bullish clues. Get above and the dollar will be looking weak again. Stay below and perhaps the trend we are seeing today so far continues and we get below the 1.1241 level. IF so, the 50% of the weeks range at 1.1211 and 100 hour MA at the 1.12033 area (see blue step line in the chart above) will be eyed.
