EUR/USD: plan for the European session on April 8. US labor market data provided temporary support for the US dollar
To open long positions on EURUSD you need:
As expected, the release of data on the US labor market only temporarily supported the US dollar, which did not even lead to a breakdown of the middle of the channel in the area of 1.1212. To continue the upward trend in EUR/USD, you need to break through the resistance of 1.1248. A consolidation at this level will lead to a new increase with an update of the highs in the area of 1.1284 and 1.1324, where I recommend to lock in profits. In case the euro declines in the first half of the day, it is best to consider new long positions, provided that a false breakdown is formed in the support area of 1.1212 or to rebound from the lower border of the side channel in the area of 1.1183.
To open short positions on EURUSD you need:
The challenge remains the same for the bears. The formation of a false breakdown in the resistance area of 1.1248 will maintain pressure on the euro. However, the main task for the first half of the day will be to return below the middle of the wide side channel of 1.1212, which will increase the pressure on EUR/USD and lead to a test of its lower border in the area of 1.1186, where I recommend taking profits. When the growth scenario is above 1.1248 in the first half of the day, it is best to consider short positions to rebound from resistances of 1.1284 and 1.1324.
Trade is conducted in the area of 30-day and 50-day moving averages, which indicates the lateral nature of the market.
Volatility is very low, which does not provide signals for entering the market.
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