To open long positions on EURUSD you need:
The euro buyers expectedly failed to cope with the resistance level of 1.1259, which I paid attention to in my morning review, which indicates a slowdown in the upward correction. From a technical point of view, the picture has not changed. The main objective of the bulls remains a breakthrough of a maximum of 1.1259, which will lead to further growth of the euro and the resistance test 1.1288, and this will completely reverse the current downward trend that was formed last Thursday. In case of a pair decline, the level of support will be the area of 1.1225, however, it is best to open long positions from it on a false breakdown. It is best to buy for a rebound from a minimum of 1.1200, where bulls will try to build the lower boundary of the new ascending channel.
To open short positions on EURUSD you need:
The bears have perfectly fulfilled the level of 1.1259, to which I paid attention in my morning review, which renewed the pressure on the euro. The new goal of sellers is to return under the support of 1.1225, a breakthrough of which will lead to a larger reduction in EUR / USD along with the trend to the area of minimum 1.1200 and 1.1175, where I recommend fixing the profits. Under the scenario of a larger growth of the euro above 1.1259, you can sell on a rebound from the area of 1.1288.
Indicator signals:
Moving Averages
Trade remains above 30-day and 50- moving averages, which indicates the lateral nature of the market, but a return below the averages may lead to a new wave of euro sales.
Bollinger bands
A break of the lower limit of the Bollinger Bands indicator in the 1.1225 area will lead to a decrease in EUR / USD.
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