The pair that continues to shift with the wind

The EURUSD moved above resistance against the 200 hour MA and 200 day MA earlier in the London morning session (at 1.1089 and 1.1093). The move stalled after taking out Friday's NFP highs and we are now moving back below the 200 hour MA/ the 200 day MA (shifts the bias back in the favor of the shorts).

These types of markets beget these types of markets. Traders do get used to it. It becomes the game - "Let's see how we can take out a high and reverse course"

Staying below the 200 bar MAs (day and hour) will be eyed now for those looking for continued downside momentum. The 200 bar MA on the 5 minute chart (green line) and then the trend line and the 100 hour MA at 1.10678 become targets to get to and through to give sellers more comfort.

The question is....how comfortable are traders? It seems that traders will go with it for a little bit, then at the slightest failure, give up on the idea. That is ok. That happens. The good news is the price action does give you clues even if you go with a break and it fails. At the break of Friday's high, the price action spelled caution. Failure to spend time above the old high was a warning. The break to the downside of the bull pennant was a warning.

That is trading. We have to recognize the mindset and adjust our mindset to "the markets". Because "the market" moves the price. If the mindset is to whip around... listen to the price action and tools. PS if you don't like the price action....don't trade the pair. Look for other pairs that less troublesome.