The EURUSD which moved higher against the USD buying on the back of the hawkish ECB, shifted the mindset to lower growth and has now moved to a new session low as European traders exit for the day. The pair is also testing the 100 hour mA at 1.05943. The price dipped below the 100 hour MA on Monday and Tuesday this week (at lower levels) but could not muster any selling momentum.
A move below the 100 hour MA has the 50% of the move up from the December 7 low at 1.05889 not far away and the low of a swing area at 1.05843. Move below all those levels would have traders looking toward the 200 hour MA at 1.0554 (and the 61.8 of the same move higher).
On the daily chart, the price moved to a new high going back to June 9, but fell short of the 61.8% retracement of the 2022 trading range at 1.07468. The high price reach 1.0735 - 11 PIP short of that key target before rotating back to the downside.
The low price is now testing the low of a swing area on the daily chart at 1.05943 (see red numbered circles on the chart below).
So not only is there support from the hourly chart above, but also from the daily chart below. Be aware. Key support.
