EUR/USD, 100&200 MA's like a magnet!
As I pointed yesterday in my EUR/USD analysis, the pair manage to brake true the 100&200 MA and touch 1.0800 today, the resistance level in combination with down trendline, which has push the pair back down true the 100&200 MA for now. Could these moving avarages hold the pair around that level or, the support at 1.0710/30 will be tested again? The market players are too nervous here at this pair and they can’t decide ehere to go, but technical analysis works just fine.
Forex Trader 
There is a great symmetrical triangle here. The apex of the triangle occurs effectively over the weekend though in reality will be Sunday night. The question is ‘which way is it going to break – up or down?’. The thing with symmetrical triangle is that whether the break is to the long side or to the short side is anyone guess. Something like the inevitable Greek default could sent the price action whistling to the short side and more poor US data proponing the eventual rate hike could send it rocketing to the long side. The converged 200 SMA and 100 SMA are interesting and not often seen. There may be a hint in which way the breakout might occur by their trajectory. It is pointing down and thus the breakout might be to the short side. However all that can be said is that there is probably going to be a tight range for the remainder of the week and a sharp breakout either with a gab over the weekend or an early move next week. The direction really is anyones guess.
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Yes, just to add something. I remember a situations like this at EUR/USD, it’s not so strange to me that direction is unknown with so many up and downs continuously for days. I think it has nothing to do with FED’s rate hike or so. If you can remember Spain crisis, Portugal as well and their bailouts. Too much nervousness now with Greece, that’s the main reason.
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