The EURUSD is reversing the gains from yesterday when the market focused on the EU side of the traders bias. Today, with US 10 year yields moving above 4.0% (and overall inflation fears in the US), the focus returns to a stronger USD.
Additional selling in the EURUSD took place after the US data today which showed stronger employment once again (initial claims and Unit labor costs).
That selling took the pair below the 100 hour MA and toward the next target area defined by swing area between 1.0576 and 1.0585. The low reached 1.0581.
even The price has seen a bounce off that level, and the price has moved back above the 100 hour moving average 1.06016, but remains below the falling 200 hour moving average at 1.06190.
Moving back above the 100 hour moving average is a chink in the bearish armor in the short term, but getting above the 200 hour moving average is still required to put buyers more control.
On the downside, getting below 1.0576 is the next technical target to get to and through. Move below, and door opens for a retest of the Monday low at 1.0532.