Inventories down/lower GDP
The inventory data gave a little nudge to the upside in the EURUSD on the back of lower inventories = lower GDP.
Technically, the price move to the upside did base after the price tested the 200 hour MA (). The pair has made new highs for the NY session in the process, but it still needs the support of a big fat buyer(s) if the momentum is to continue (are you out there?). The high from Tuesday at the 1.1229 and the high for the week at 1.1244 are the next targets. The range for the week is a pathetic 124 pips (that is the most narrow of the year if it stood up through tomorrow). The 200 day MA looms ahead at the 1.1253 level and is a key target on the topside. The pair on Monday and Wednesday tested and held the 100 day MA below and held like a charm (see step blue line in the chart above).