Showing posts with label but will it be able to update previous lows?. Show all posts
Showing posts with label but will it be able to update previous lows?. Show all posts

Analysis of EUR/USD divergences for April 24th. The euro is falling again, but will it be able to update previous lows?

4h

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After the formation of the bearish divergence at the CCI indicator, the EUR/USD pair on the 4-hour chart performed a reversal in favor of the American currency and closed under the Fibo level of 76.4% (1.1241). As a result, on April 24, the process of falling can be continued in the direction of the next retracement level of 100.0% (1.1177). The rebound of the pair from the Fibo level of 100.0% will allow traders to count on a reversal in favor of the EU currency and some growth in the direction of the retracement level of 76.4%. There are no emerging divergences today.

The Fibo grid was built on extremums from March 7, 2019, and March 20, 2019.

Daily

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As seen on the 24-hour chart, the pair performed a consolidation under the retracement level of 127.2% (1.1285). Thus, the fall of the pair can be continued in the direction of the next retracement level of 161.8% (1.0941). However, as before, there are big doubts that the pair will be able to close under the two previous lows. The closing of the pair above the Fibo level of 127.2% can be interpreted as a reversal in favor of the euro currency and expect some growth in the direction of the retracement level of 100.0% (1.1553).

The Fibo grid was built on extremes from November 7, 2017, and February 16, 2018.

Forecast for EUR/USD and trading recommendations:

Buy deals on EUR/USD pair can be opened with the target at 1.1241 if the pair rebounds from the retracement level of 100.0%. The stop loss order should be placed below the level of 1.1177.

Sell deals on EUR/USD pair can be opened with the target at 1.1177 as the pair completed closing below the level of 76.4%. The stop loss order should be placed above the level of 1.1241.

The material has been provided by InstaForex Company - www.instaforex.com