The 2018 lows still in sight
The EURUSD is little changed in a modest up and down trading range today. The range is only 34 pips so far. The 22 day average is 78 pips. So there is room to roam on an extension. The bias is still more bearish with the lows for November and the year still eyed.
Technically, however, the pair did find some support at the next targets. The lows from November 14 and 15. Those lows come in at 1.1262 and 1.1270 (see lower yellow area). A move below that level will look toward a lower trend line at 1.1253 today and then the 2018 lows at 1.12147 will be eyed. Sellers still hold the cards.
If the buyers are to take more control, the buyers will need to see a rise above a topside trend line at 1.1296 currently (see chart above) and then retake the 61.8% at 1.1313. Yesterday, there was a failed break below the 61.8%, but after the next break, the level held on a test before moving lower. Swing lows at 1.1321-25 would be the next hurdle, followed by the 100 hour MA. On Monday, the 100 hour MA was tested and the sellers leaned against that MA (see blue line in the chart above).
Sellers are in control, but waiting – and a bit apprehensive – as lows for the year are approached. Data ahead with GDP and trade the focus.