The EURUSD tried to move higher in the early Asian session and heading into the European morning session, but could not sustain upside momentum above its 100 and 200 hour moving averages (blue and green lines in the chart below). Weaker data ahead of Germany (factory orders) and EU (retail sales) helped to push the currency back to the downside. Buyers turn to sellers on the move back below the 200 and 100 hour moving averages which are near converged at 1.0713 area.

The subsequent move to the downside is now trading to new session lows, and has traders looking toward the swing low from last Thursday and a swing low from intraday on Wednesday near 1.0660. Will below that level and traders will target the cycle low (May low) at 1.06351.

It would now take a move back above a swing area above 1.0704, but really the 100 and 200 hour moving averages at 1.0711 and 1.07158 to tilt the technical bias back to the upside.

This article was written by Greg Michalowski at www.forexlive.com.