The EURUSD looks toward the falling 100 hour MA and the 38.2% retracement

Technical Analysis

The EURUSD is moving higher helped by GBPUSDs run to new highs (now above its 200 hour MA) and overall dollar selling. Yields are lower helping to push the greenback lower. Gold is higher by $14.50 now helping the dollar selling (or is dollar selling pushing gold higher?).

The USD is at session lows vs the EUR, GBP, CHF, CAD, AUD and NZD. The USD is now the weakest of the major currencies (see ranking below).

Looking at the hourly chart of the EURUSD above, it has now traded to a new session high at 1.04423. That has taken out the London session high at 1.04375, but remains short of the falling 100 hour MA at 1.04516.

Above that level is the 38.2% of the move down from the May 5 high at 1.04586. Above that level and traders will start to look toward the 1.04709 level which was the low of the up and down swing area since April 27 (see red box on the chart above).

Close risk is now the swing high from Friday near 1.0418. A move below that level and traders will start to look toward the swing lows from today at 1.0388

Buyers are making a play. Can they continue the momentum to and through the topside targets now?

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