The EURUSD has slipped to new session lows, breaking back below the prior ceiling from August between 1.1730 and 1.17419. The inability to hold above that zone has given sellers renewed confidence, but there is still “work to do” to solidify control.
That work begins with pushing the pair back under the 100-hour moving average at 1.17009, which is now edging higher. A further break below the 200-hour moving average at 1.1688 would strengthen the bearish bias.
Last Friday, the pair surged above both those averages on the back of a weaker-than-expected U.S. jobs report. At that time, the averages were closer to 1.1661, making them easier to surpass. With the levels now higher, sellers face a more difficult challenge to regain full downside momentum.
It would not take a move back above 1.17419 to give the buyers full control once again.
Buyers had their shot on Friday and yesterday above the August highs, and extended even higher today, but could not sustain the momentum toward other targets. That is now giving the sellers some added confidence and worrying the buyers at the same time. The buyers and sellers are fighting it out.