Trades at session lows
The EURUSD is cracking below a lower trend line at the 1.2327 level. Earlier in the day, the price move below trend line(s) and the 200 hour MA (green line in the chart below).
Moves like that are bearish. Now with the fall below a lower channel trend line the sellers are taking another shot at the downside. The 1.2312 swing low from Feb 6 is a target. Below that the 1.2294-97 area (yellow area) is a target (was a ceiling from Feb 8 to Feb 12).
Trading below the lower trend line will have traders looking for the break to keep the pressure on the pair. Close risk for shorts will look toward the 61.8% level at the 1.23385 area. Stay below is more bearish now. Move above and waters are a bit more muddy. For traders looking to risk more (or who are short from above and looking to see more), the 200 hour MA at 1.23618 is a risk defining level to stay below.
