The snapback fall from the 100 day MA finds some buyers.
The 100 day MA stalled the trend move higher earlier today. I wrote in an a post, that:
“The run higher picked up speed on the break of the 1.1442-44 area. That was the December 10 high and also the 38.2% of the move down from the September high. Buyers and sellers will be watching that level for a potential lean level on the dip (with stops below the highs from yesterday at 1.1437 for the dip buyers). “
Well, that area was broken and the momentum lower picked up steam.
That fall ended up reaching a stall point at the 38.2% of the move up from last Friday’s low. That came in at 1.1402. The low reached 1.14018.
We found support at the 38.2%. We have upside levels above at 1.1413-18 and 1.1437-419 (see yellow areas). Buyers turned to sellers at 1.1437-42. Look for patient sellers to lean there.
The 38.2% is a reason to buy (it is also near swing levels – see red numbered circles). A move below, opens up the downside for more selling.