Support & Resistance

Can the EURUSD stay below parity now and get below support at 0.99515?

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The EURUSD has seen ups and downs since the ECB rate hike. The volatility has taken the pair above and below the parity level at 1.0000. As London/European traders look to exit, sellers are making another play to the downside.

The questions for traders now from a technical perspective are:

  • Can the price remain below the parity level now? Stay below is more bearish.
  • Can the price make a new low below 0.9971 and make a run at the 0.99515 level. That level was the low going back to July 14 when the price first traded below the 1.0000 level for the year. In September, the level tried to hold support against the level before rotating to the year’s low.

Those are questions that the technicals are asking to be resolved. Sellers are making the play. Can they keep the momentum going or will the dip buyers stave off the selling once again and push back toward the 100 day MA above?