EURUSD corrects to a topside trend line. Up and down activity today.

The pair corrects higher but momentum is contained

The EURUSD is higher on the day today. The pair closed at 1.19475, near the low at 1.1937.  

At the lows yesterday, the pair was testing a lower trend line (see post here) and it opened the door for a counter trend move. 

That did happen but the 200 day MA, and a topside trend line did stall the rally near the 1.2011 (the high reached 1.20085). Since then, the price has kept an intraday lid against the falling trend line on the hourly chart.  That level comes in at 1.1989 currently.  

Both that trend line and the 200 day MA remain key levels for the bullish/bearish bias. Stay below keeps the sellers in control. Move above (and stay above) and the bearish waters start to get more muddy.  

PS, there is another trend line and the 100 hour MA at 1.20344, and the swing low at 1.20539. That level is also the broken 50% of the move up from the November 2017 low (see daily chart below). 

SUMMARY: The EURUSD has been trending and breaking levels to the downside along the way (see another post here outlining the trend move). The correction higher today is modest and has been able to keep the sellers more in control.  Ultimately, unless the price can get back above broken levels like the 200 day MA, the sellers are more in control.  The 100 hour MA will also be important.  Absent that, the trend remains to the downside. 


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