To open long positions on EUR / USD pair, you need:
The unsuccessful attempt to get out of yesterday's maximum and to gain a foothold above the resistance of 1.3192 led to the formation of a new side channel in the pair. At the moment, it is best to return to long positions in euro after a false breakdown in the support area of 1.1374 or to rebound from the lower border of channel 1.1348, where euro sellers will also take profits. The main task is still to breakthrough and consolidate above the upper boundary of the channel in the area of 1.1403, which will lead to the renewal of new highs in the area of 1.1432 and 1.1459, where I recommend taking profits. The Speech by Fed Chairman Jerome Powell in the afternoon may lead to a surge in volatility in the pair.
To open short positions on EUR / USD pair, you need:
Today, the Eurozone data limited the growth of the euro in the first half of the day. As long as trade will be conducted below the upper limit of the side channel at 1.1403, the pressure on EUR/USD pair will continue and a breakthrough with consolidation below the middle of the channel in the region of 1.1374 will lead to an update of the minimum of 1.1348, where I recommend taking profits. In a scenario of a re-growth of the euro above the resistance of 1.1403, during the Fed chairman's speech as it was yesterday, it is best to consider new short positions to rebound from a maximum of 1.1432 and 1.1459.
More in the video forecast for February 27
Trade remains in the region of 30- and 50- moving averages, which indicates the lateral nature of the market with the advantage of euro buyers.
Bollinger Bands indicator volatility is very low, which does not give signals on market entry.
Description of indicators
MA (moving average) 50 days - yellow
MA (moving average) 30 days - green
MACD: fast EMA 12, slow EMA 26, SMA 9
Bollinger Bands 20The material has been provided by InstaForex Company - www.instaforex.com