To open long positions on EURUSD you need:
Today, buyers of the European currency can retreat if they fail to quickly return to the resistance level of 1.1319 in the first half of the day. Only above this range will it be possible to talk about a continuation of the upward trend in the area of highs 1.1358 and 1.1388, where I recommend to lock in profits. In case of a re-downward correction to the support area of 1.1294, it is best to consider buying the EUR/USD from this range if a false breakout is formed, while larger long positions are best opened to rebound from lows of 1.1265 and 1.1232.
To open short positions on EURUSD you need:
The lack of important fundamental statistics today can help euro sellers. An unsuccessful consolidation above the resistance of 1.1319 in the first half of the day will be a signal to open short positions in order to drop to the support area of 1.1294, and a repeated test of this level could lead to a larger sale of EUR/USD to lows in the area of 1.1265 and 1.1232, where I recommend to take profits. With the EUR/USD growth scenario above 1.1319, a divergence can be formed on the MACD indicator, therefore, it is best to consider short positions for a rebound from the high of both 1.1358 and 1.1388.
Trade is conducted in the region of 30 and 50 moving averages, which indicates the lateral nature of the market.
Only a breakthrough of the upper limit of the Bollinger Bands indicator in the area of 1.1319 will lead to the resumption of an uptrend. Breaking the lower boundary of the indicator in the 1.1294 area will increase the pressure on the pair.
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 20