The swing area found support yesterday and today

The EURUSD has run higher but is finding some stall ahead of a topside trend line at 1.1432. That is also ahead of higher highs for the week at 1.1441 and 1.1451. Can traders break the 1.1432 level. That is what buyers will be hoping for today. 

For the week, the low was on Monday. The pair based against the 100 hour MA on that day and did not retest that moving average until yesterday and today.  The price did dip below the MA level, but a swing area in the 1.1370-776 area, did stall the fall as traders decided what was next.   The decision was to take the pair higher in the London morning session.  

The run higher has been made. The pair has moved close to the next topside resistance trend line level.  Decision time.  Sell against the trend line (with a stop above and hope for new highs for the week), or just remain long. On the downside, watch 1.1404-10 area for close support (see 5 minute chart below).  The 38.2% of the move higher comes in at 1.14098. The rising 100 bar MA comes in at 1.14048 and moving higher.  

EURUSD on the 5 minute chart

For bank trade ideas, check out eFX Plus



Source link