EURUSD 100-day moving average returned to center stage on Friday after the pair failed at 1.1585 and slipped back under the key level.
The pair climbed through the European session and early North American trade. However, the move lost steam near 1.1586. The source said that area matched the top of a swing zone and the 50% retracement. EURUSD then turned lower after reaching 1.1585.
That drop pushed the pair back below its 100-day moving average, which stood at 1.15667 earlier in the day. As a result, the earlier breakout lost momentum. The source said this was the second straight Friday that EURUSD moved above the 100-day average but failed to hold the gain.
EURUSD 100-Day Moving Average in Focus
Last Friday showed a similar pattern, according to the source. EURUSD moved above the same average, but that break also failed. That move then helped send the pair down to 1.1511 on Thursday. Even so, that low stayed above swing support around 1.1500.
As the week neared its close, the 100-day moving average remained the main line to watch. A finish near that mark would leave the next move to next week. Traders would likely keep using that level to judge whether the near-term bias turns more positive or negative.
Key Levels Above and Below
On the upside, a move back above the EURUSD 100-day moving average would bring 1.1586 back into view. If the pair breaks that level and holds above it, the source said the bullish case would improve. That would then put the 200-day moving average at 1.1627 in focus.
On the downside, staying below the average would keep pressure on buyers. The next targets lower were the 100-hour and 200-hour moving averages near 1.1539, followed by 1.1524. If EURUSD breaks below those levels, attention would shift back to the 1.1498 to 1.1506 swing area.
For now, the EURUSD 100-day moving average remains the key technical line.
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Source: InvestingLive
