Sell any rally? The market is not waiting

The EURUSD is pushing lower into the US jobs report. Traders typically wait to see the whites of the employment numbers eyes. Today, they were not waiting as they took the price to yet another 11 year low (lowest since September 5th 2003). The market said "It does not matter. The EURUSD is going lower". .

Technically, trading at the lowest level since 2003, there is little in the way of support from the near term chart. However, there is the one level that I have earmarked as a downside target. That level comes in at 1.0935 (see hourly chart above). The low extended to 1.09289 as stops were triggered on the way down. but has since bounced toward the 50% of the days trading range at the 1.0980 level.

With support holding (close enough at least), that 1.0935 level will become the line in the sand to breach and stay below on any move lower from a stronger number (or any selling "just because"). Should the price get and stay below that level, the targets get more tricky. Looking back to the last time the price traded this low in 2003, the 1.0919 was the low on Sept 5, 2003. Then there is little until 1.0808 (lows from September 4 and August 28th). and 1.0759 (the low for September 2003). Below that the 1.0584 is a lower trend line on the monthly chart (see below) and 1.0500 is the low from March 2003.

Needless to say, the downside will initially be about staying below the 1.0935 level. then getting through the 1.0919 level - and staying below that level. The story then becomes more fuzzy except to say, the sellers are in charge and the trend remains your friend.

Of course, there is "your amount" of levels on the topside to target and sell against (see hourly chart above). The first area of resistance come in against the low from yesterday at the 1.0986 level (see hourly chart above). Above that the 1.10002 is a topside trend line and 1.1030 is another topside trend line on the hourly chart. The 38.2% of the move down from the Feb 27 high comes in at 1.1050 area. A move up to that level would imply a 120 pip trading range for the day. This is where there should be some sellers looking to stick a toe in the water. If the market is more intent on trending higher today, the 1.1070 level (underside of trend line) and the 1.10974 (Low from January 2015) become the next upside technical targets. I would really surprised if the market is able to get so high.

Good fortune with your trading. Expect sellers to come in on rallies. A move below 10935 and staying below, targets lower lows and more talk of bigger moves lower (1.0579/parity?) to become more commonplace.