EURUSD moves back higher and retraces CPI declines

The EURUSD has retraced all the CPI declines. Before the data, the EURUSD was trading at 114.34. The price moved down to 113.74. That level tested the 50% midpoint of the move up from last Thursday’s low (ECB day). The low fell short of the rising 200 hour moving average at 1.1366.

Sellers turned the buyers, and after the price move back above the 1.1400 level for the second hourly bar after the release, shorts were squeezed further. The price moved above the 100 day moving average at 1.1416 and then moved above the 100 hour moving average at 1.1429. As I type, a new high for the day’s being made at 1.14465.

It’s a fast break the other way for the EURUSD as buyers steal the ball from the sellers, and the sellers are left chasing the market price back to the upside.

The EURUSD is not the only instrument seeing a rebound..

• The GBPUSD is also trading to a new session high after toying with a move below its 100 and 200 hour moving averages at 1.3539 and 1.3533.the low reach 1.3522 before rebounding higher
• The S&P index has returned back to it 100 day moving average at 4574.07. The high price reached 4580.82, but has moved back below the 100 day moving average currently trading at 4572.09. I still believe that moving average will be a key barometer for the broader market today
• .Crude oil made a run back to the upside after falling sharply. It currently trades back above the $91 level at $91.10. It traded as high as $91.38