EURUSD dips to new session lows and tests low from last Friday and bounces


Bounces off the low from last Friday.

The EURUSD is trading in the early NY session to a new low and in the process tested the low from last Friday at 1.11899. The low for the day just reached 1.11901 and has bounced on the first look. 

Bounces off the low from last Friday.

Earlier in the Asian sesssion, the price of the EURUSD bounced up to test the 100 hour MA (blue line currently at 1.1236 and moving lower). The price traded above and below that level in the volatile trading yesterday but closed below the level.   Today, the pair tried to move above that MA in the Asian session but ran out of momentum quickly. That led to the move back to the downside (with the low from last Friday stalling the fall).  

The price is currently trading back above the 1.1200 level and moving to test the swing low from yesterday at 1.1218. A move back above that level could see the pair moving back toward the falling 100 hour MA at 1.1236 currently. 

SUMMARY. The fall to the last Friday swing low seemed to get the interest of the buyers.  Getting above the 1.1218 level opens the corrective move more with the falling 100 hour MA the target. On the downside, watch the 1.1204 level. That was a swing low earlier today and around other swing levels going back to June 17.  

For bank trade ideas, check out eFX Plus



Read more…