Analysis of the divergence of EUR / USD for March 4. The pair is prone to falling, but down does not allow the level of
On the 4-hour chart, the EUR / USD pair performed a new return to the correctional level of 23.6% - 1.1358. On March 4, the end of quotes from this level will allow to count on a turn in favor of the EU currency and the resumption of growth in the direction of the 38.2% correction level - 1.1446. There is not a single indicator on the current chart that has diverging effects today. Moreover, closing quotes below the Fibo level of 23.6% will increase the pair's chances of continuing falling towards 1.1269.
The Fibo grid was built on extremums from September 24, 2018 and November 12, 2018.
On the 24-hour chart, the quotes of the pair reversed in favor of the US dollar and began a slow decline in the direction of the correction level 127.2% - 1.1285 after the formation of a bearish divergence. Closing the course of the pair below this level will allow traders to expect a continuation of the fall in the direction of the next Fibo level 161.8% - 1.0941. On the other hand, rebounding the pair from the level of 127.2% will work in favor of the euro currency and the resumption of growth in the direction of the correction level 100.0% - 1.1553.
The Fibo net is built on extremums from November 7, 2017 and February 16, 2018.
Recommendations to traders:
Purchases of the EUR / USD pair can be carried out with the target of 1.1446, if the pair disconnects from the level of 1.1358, and the Stop Loss order is below the 23.6% level. But be careful, since there is a bearish divergence on the 24-hour chart.
Sales of the EUR / USD pair can be made with the target of 1.1269, and with a Stop Loss order above the level of 1.1358, if the pair closes below the Fibo level of 23.6%.The material has been provided by InstaForex Company - www.instaforex.com