The EURUSD and the GBPUSD have reversed lower in morning US trading, and in the process has moved back down to retest the 200 hour moving averages on both of those currency pairs.
For the EURUSD, a cluster of support is in play, including an upward trendline, the 200-hour moving average, and the 61.8% retracement of the range since July 1. The price briefly slipped below the 200-hour moving average at 1.1665, but sellers were unable to push it through the 61.8% retracement at 1.16615. The pair has since rebounded modestly, trading near 1.1670. Holding above this zone keeps the downside contained, while a break back below would re-expose the lows.
In the GBPUSD, the 200-hour moving average provided support earlier in the Asian session. The latest dip once again tested that rising average, briefly piercing it at 1.34987. Pressure remains heavy against this level, and a sustained move lower with momentum would open the door for further selling. The next key downside target comes at the midpoint of the range since the July high, near 1.3463.
