EUR/USD rallies into crucial resistance zone
EUR/USD has punched higher this week, following the recent bullish reversal signs. However, that run looks likely to be over, with the price moving back into the 200-period (4-hr) simple moving average (SMA). That SMA has provided near enough perfect support and resistance on the last three times of asking.
Given the continued creation of lower highs and lower lows, there is a good chance we will see this market move lower from here, respecting the moving average. We would need to see a break through $1.1858 to negate that view. However, be careful trading this market given today’s European Central Bank (ECB) meeting.