EURUSD races up to test the high from yesterday

The EURUSD has moved farther away from its 100 hour moving average, and in the process has taken out swing levels between 1.04578 and 1.04904 (see earlier post).

The price has moved to and through the next target area between 1.0505 and 1.0508 and looks toward the 38.2% retracement of the move down from last week’s high which cuts across at 1.05168.

A move above that retracement level would be the minimum retracement target if the buyers are to take more control. Getting above it would have traders looking toward the 50% retracement and falling 200 hour moving average at 1.05658.

Recall a week ago, the EURUSD was above the 1.05658 level ahead of the US jobs report. So it hasn’t been that long since the price was up at that level.

Close risk can be at any the swing levels just broken starting with 1.0490 and moving down to 1.0482, 1.04709, and 1.04578. If the buyers are to take control and keep control, staying above those levels will be key. Also getting below the 38.2% retracement is mandatory.