EURUSD tumbles to key support target. Will buyers lean against the key swing area?

<p>A technical update for the EURUSD:</p><p>The EURUSD has continued its move to the downside as dollar buying dominates early US trading. The price has moved down to a key swing area. Looking at the 4-hour chart below, the area between 1.0833 and 1.08485 is home to a number of swing lows and highs going back to mid-May (see red numbered circles on the chart below). </p><p>Last week, the price bottomed in this area and rebounded back higher in early trading this week. In trading today, the high price reached up to test its key 100-day moving average at 1.0930, and found willing sellers. That level was also near the 38.2% retracement of the last trend move down from the high two weeks ago.</p><p>Holding against those technical levels gave the sellers the go-ahead to push lower, and over the last 3 bars, the price has stepped steadily to the downside. Now the question is will the dip buyers lean against the key swing area? Risk is defined and limited with a stop below 1.0833. </p>

This article was written by Greg Michalowski at www.forexlive.com.