EURUSD falls back toward the hourly moving averages The EURUSD has seen a dip since the employment report. The price is currently trading at 1.0553. That is dipping just below the 200 hour moving average at 1.05541. The 100 hour moving averages at 1.05404. Move below each would increase the bearish bias in the short-term. Since making the cycle and year low last week at 1.04070, the price has been chopping up and down. The high price for the week was reached yesterday at 1.0641. That level came in just below the 38.2% retracement of the range since April 21 at 1.0648. The inability to get above that retracement level turned buyers to sellers, and the the price back lower. It also made the correction of the move down from the April 21 high as a plain-vanilla variety. It just does not impress or give buyers control. Later in the day yesterday, the tumbling US stocks sent the flow funds into the USD. The price low yesterday reached the swing lows from Monday and Tuesday at 1.04904 and the price rebounded modestly into the close of the technical support hold. Today the price action in the Asian session was to the downside, with the price cracking below the lows for the week to 1.0482. However the low from last week at 1.04703 kept selling in check. The price moved higher helped by more hawkish comments from ECBs Villeroy. Nevertheless, the high today peaked near last Friday's high around 1.0592 and just below the natural resistance at 1.0600. The high price today reached 1.0599. There is a load of Fed officials ahead which will influence the price action. Will the Fed officials deviate from the Fed Chair's comment that 75 basis points was not on the table? As Adam reports, the market is pricing in an 83% chance of a 75 BP move in June despite the chair's comments.Technically, moving below the moving averages tilts the bias more to the downside. Staying above the moving averages gives buyers some hope that the lows are in place. US rates continue to be higher on the day and nearer there high levels. The 10 year is up 4.7 basis points 3.114%. US stocks are negative with the NASDAQ futures implying a decline of near 100 points.
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EURUSD dips after US jobs report
By 2 Mins Read