EURUSD catches a bid after US CPI data as flows out of USD continue

The  EURUSD  has moved back above its 100 hour moving average (blue line in the chart above) at 1.08861 as traders breathed a sigh of relief and sell the  US dollar  after the CPI data.

Recall, the pair moved below that moving average level in the NY session yesterday and stayed below. The lower swing area between 1.0863 to 1.08728 acted as support.

In the European session today, the price moved below the lower swing area and tried to stay below it ahead of the CPI. However, the data pushed the price back above that swing area and is now trading back above the 100 hour moving average as well.

Sellers are shifting back to the upside and traders will now be watching/using the 100 hour moving average as close support/risk. More conservative risk will be once again back at the 1.0863 – 1.08728 area. The sellers had their shot. It is the buyers turn to see if they can keep control and do more upside probing today.

The upside targets include the high from yesterday at 1.09325. And a swing area between 1.0938 and 1.0944. The falling 200 hour moving average currently comes in at 1.0948.