Forex technical analysis: EURUSD break above the 200 hour MA. New session highs

200 hour MA at 1.0878 broken.

The EURUSD is trading a new session highs. Moving above the 200 hour moving average in the process (green line in the chart below). That level comes in at the 1.0878 level.

The next target is not far away at the 1.0891 level. This is the trendline connecting highs going back to December 29 and the January 4 . Above that the 1.0898- 1.0903 level should cap the rally for the day. This area is comprised of a series of swing lows and highs going back to mid December.

The US non Farm Payroll is due tomorrow. The expectation is for a 200 k increase. That should start to limit the extremes as traders adjust risk.