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EURUSD reverses after testing 1.1585 and slips back below 100-day MA
The EURUSD topped 1.1585 near the 1.1586 target area and 50% retracement, then reversed to trade back below the 100-day moving average, putting the bullish push at risk into next week.
EURUSD surged through European and early North American trading before stalling near a well watched technical level, then reversed. The pair briefly pushed up to 1.1585, closely testing the 1.1586 area where a swing top and the 50% retracement converge.
The move ran into the same kind of technical roadblock seen the prior Friday. After breaking higher earlier in the session at 1.15667, the EURUSD failed to hold above the 100-day moving average and later moved back below it, a shift that puts the upside advance in jeopardy.
Support has held for now, with the prior session low staying above a key swing support area around 1.1500. As week-end trading winds down, the 100-day moving average remains the key reference point for traders deciding whether the market can sustain any further recovery.
Looking ahead, the upside focus returns to 1.1586 if the pair can move back above the 100-day moving average, with a sustained break opening the door toward the 200-day moving average at 1.1627. Downside levels cited include the 100- and 200-hour moving averages near 1.1539 and then 1.1524, with a break below shifting attention back to the 1.1498 to 1.1506 swing area, according to Forexlive.