The EURUSD stays below the 50% and key swing area as the trend lower remains intact.

Bears in control

The EURUSD moved below the 50% retracement and also a swing area between 1.20493 and 1.20578. The price low extended to 1.20226. That came up short of the swing low from Feb 8th at 1.2019, but only by a few pips. 

The rebound has been able to stay below the low of the swing area at 1.20493. The high price reached 1.20466 off the low. The sellers remain in control.

Drilling to the 5 minute chart below, the price action since yesterday, has been able to trend lower and stay mostly below the 100 bar MA (lower blue line in the chart below). The 100 bar moving average currently comes in at 1.20432 and moving lower. 

If the buyers are to start to break the trend move lower momentum, getting above that MA line and then the swing area from the hourly between 1.20493 and 1.20578 is required. Above that the falling 200 bar MA on the 5 minute is another hurdle at 1.20611 (and moving lower).  Failure to do that, and technically the sellers remain in firm control,and so does the downward trend.

EURUSD on the 5 minute chart

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Categorized as Forex

By Jonathan Prop

Jonathan Prop is an independent financial advisor. He has been working in finance for the last 20 years. After retiring early in his 40s, Jonathan decided to help others get to grip with financial markets, particularly his area of expertise - forex!

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