EURUSD corrects higher into overhead resistance

<p>The EURUSD has corrected higher in trading today and the softer-than-expected core PCE data helped to push the price to a new high for the day at 1.1032. That move did extend above a swing area up to 1.10267, but overhead resistance defined by the 50% midpoint of the July trading range AND the falling 100-hour moving average near the same level at 1.10539 may have attracted some sellers. The price correction off of the low also moved within the 38.2% retracement – 50% midpoint of the week's trading range. Recall from yesterday, the high price stalled against its 200-hour moving average before moving sharply to the downside on better US data.</p><p>Looking ahead, trading back below the 1.1000 level could see more selling with the next target between 1.09618 and 1.09759. Move below that level – and the swing low today which bottomed near the high of a swing area between 1.09329 and 1.09421- would be targeted.</p><p>On the topside, unless the price gets above the 50% midpoint in the 100-hour moving average, the sellers remain more control.</p>

This article was written by Greg Michalowski at www.forexlive.com.