Approaches its 100 hour MA
The EURUSD is extended to a new session high. In the process, the price has moved back above its 38.2% retracement 1.15946, and inched above the 1.1600 level to a high of 1.16026. The price is also approaching its falling 100 hour moving average at 1.1607. The price tumbled below that moving average on Friday and didn't look back.
I would expect sellers two lean against the 100 hour moving average on the first test. A hold against the level - followed by a move back below the 38.2% retracement - could see the price move back toward the swing area between 1.15802 to 1.1586 (see red numbered circles and lower yellow area).
Conversely a move back above the 100 hour moving average would have traders looking toward the 200 hour moving average (green line) which currently comes in at 1.16192. It would take a move up of both the 100 and 200 hour moving averages to tilt the bias back in the favor more in favor of the buyers.
PS the low from Friday stalled near the last swing low going back to October 12 near 1.15346. That low was above previous October lows at 1.1528 and 1.15237.
