For the EURUSD, the price action today and over the last few trading days, has been up and down volatile. On most days, there are technical levels that the “market” pays attention to. Why? Because traders look for levels that help define a bias, define the risk, limit risk. It is not exact, but a roadmap for traders focused on risk.
For the EURUSD, traders are not really paying attention to the levels as well.
What does that say to me?
That the buyers and selllers in the EURUSD, really don’t know. There is less confidence on the topside and the downside. That is ok. Traders can be unsure. At some point, they will figure it out and get back in synch with normal price action. For now, I prefer to watch.
The USDJPY moved above 144.58 which is the 50% of the range since the January 2023 low. Buyers tried to stay above that borderline for “bullish above/bearish below”, but in the European session, the price moved back below that level. The dip did find support buyers ahead of the rising 100-hour MA at 143.99. That MA will be eyed as support today and going forward. If the price can stay above, the buyers are more in control. Move below and stay below is more bearish.
The GBPUSD has longer-term resistance at the 1.3411 to 1.3511 area. This week, the price moved toward the low fo that area and traded to the highest level going back to February 2022. However, sellers have entered. Yesterday, the price decline took the price below the risihg 100 hour MA at 1.33488 (currently). Today, the price moved back above that MA, rising to 1.3388, but is rotating back to the 100 hour MA in early US trading. That 100 hour MA at 1.33488 will be a key barometer for buyers and sellers today and going forward. Buyers can lean against it with a stop on a break below. Sellers looking for more downside probing, would want to see it broken and remain broken.
This article was written by Greg Michalowski at www.forexlive.com.