Price action limited after FOMC statementThe initial move was dollar lower but we are seeing a turn around from that selling in the EURUSD.
Technically, the price action took another look above the 100 hour MA (blue line in the chart above), but the price has since come back below the MA line. Each of the moves above that declining MA line has run into selling today. There was one bar that closed above, but the next bar failed.
What I am saying is the buyers are not doing a good job of taking control of the market. Until the buyers can get above the 100 hour MA and stay above (i.e. close and move away from it on the upside), they are not taking control. The sellers are remaining in control.
Of course, you cannot really brag about what the sellers have been able to accomplish either. The low for the week at 1.1593 was reached in the first couple hours of trading on Monday. The low today could only get to 1.1605. So there is work to be done.
The week’s trading range, now that we have moved past the midpoint is only 68 pips. We are unlikely to not take out the upper or lower extreme before the end of the week.
With the high price at 1.1661 and the low price of 1.1593, which way do you think we will break and extend?
For me, the sellers remain more in control.