1.1711 is the August 2015 swing high
The EURUSD took out last weeks low by a pip or so. That failure to break and go lower is proving to be a problem from some shorts, and we are seeing a retracement higher.
The move back higher has taken the price back above close risk level at 1.1711. That was the swing high from August 2015. I still consider the level a barometer for the bulls/bears. Watch the level for clues today.
Looking at the hourly chart, the corrective high in the London morning session moved up toward the 100 hour MA (blue line) at 1.17705, before heading back lower (sellers). The US retail sales send the pair down to test that low from last week. The 50% of the move down from the London high comes in at 1.17274 level. A move back above that level would muddy the bearish water more for the pair. More shorts may give up on the downside.
Watch 1.1711. A move back below and then the 1.1700 level and the sellers will breathe better, with the goal to get below the double bottom at 1.1687.
