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Analysis of EUR / USD Divergences for July 4. Euro: There is still powder in the flasks

4h

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The EUR / USD pair on the 4-hour chart fulfilled the fixation above the correction level of 61.8% to 1.1639 and the growth to the correction level of 50.0% to 1.1680. Quit quotes from the Fibo level of 50.0% allow us to expect a reversal in favor of the US dollar and a slight drop towards the correction level of 61.8%. July 4 is maturing bearish divergence in the MACD indicator. Her education will increase the chances of the pair to retreat from the Fibo level of 50.0%. Fixing the rate above the Fibo level of 50.0% will increase the likelihood of further growth in the direction of the next correction level of 38.2% - 1.1721.

The Fibo grid is built on extremes from May 29, 2018, and June 14, 2018.

Daily

analytics5b3c6896967d4.png

On the 24-hour chart, after the rebound from the Fibo level of 100.0% - 1.1553, the growth of quotations can be continued in the direction of the correction level of 76.4% - 1.1789. The bearish divergence of the CCI indicator is still ripening. Her education will allow you to count on a turn in favor of the US currency and a return to the corrective level of 100.0%. Fixing quotes below the Fibo level of 100.0% will increase the probability of continuing the fall of the pair towards the next correction level of 127.2% - 1.1285.

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

Recommendations for traders:

Buy EUR / USD pair will be possible with the target of 1,1721 with a Stop Loss level under the correction level of 50.0% if there is a close above the level of 1.1680.

To sell the EUR / USD pair is now possible with the target of 1,1639, as there was a retreat from the correction level of 50.0%, with a Stop Loss order above 1.1680, especially if a bearish divergence is also formed.

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