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EURUSD consolidating/correcting intraday but buyers need to prove their bias

Published 11/10/2011, 08:05 AM
Updated 02/13/2020, 10:25 AM
EUR/USD
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GUID
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The EURUSD has trended to the downside today and moved below the month low price at the 1.3607 level (from November 1st). The price is consolidating/correcting now rebounding off the low at  1.35518. The corrective move higher, however, and stalled at the 1.3607 level.  In order for the market to move higher, buyers off the lows must take the price above this level. Failure to do so will keep the bears in charge and likely lead to more selling interest.

Looking at the 5 minute chart, the price has moved above the channel trendline which slowed the decline and led to the small corrective move  higher. Looking at the last leg to the downside, the price has been able to remain below the midpoint of that move.  A break above the 1.3608 level  may confirm further buying interest that could see a correction toward the 1.36216 level and above that the 1.3635 level (low from November 2nd).  The falling 100 bar MA currently at the 1.3651 level will also eyed.  Each of these levels should solicit potential selling interest. So be aware.



Once again, the market is trending.  Buyers today have had very little to shout about.  They must prove that they can overwhelm the sellers by forcing the market price above certain technical levels. The November low at 1.3607 is step 1. The 1.3635 low from November 2nd is the next. Above that the 1.3651 area which is where the 100 bar MA is located is the next level (this was also lows on the daily chart in October and November).  Shorts would not like seeing a move above this level.

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