4h
The EUR / USD currency pair continues the process of falling in the direction of the correctional level of 100.0% - 1.1303 after the formation of a bearish divergence at the CCI indicator. On October 31, there is a brewing bullish divergence at the indicator MACD. The education will allow traders to expect a reversal in favor of the European currency and some growth in the direction of the correction level of 76.4% - 1.1422. Rebounding quotes from the Fibo level of 100.0% will similarly work in favor of the beginning of the pair's growth. Fixing the rate under the correction level of 100.0% will increase the likelihood of a further fall in the direction of the next Fibo level of 127.2% - 1.1162.
The Fibo grid was built on extremes from August 15, 2018, and September 24, 2018.
Daily
On the 24-hour chart, the process of falling quotations also continues, in the direction of the correction level of 127.2% - 1.1285. The rebound of the pair from the Fibo level of 127.2% will make it possible to expect a turn in favor of the EU currency and some growth in the direction of the correction level of 100.0% - 1.1553. There are no maturing divergences on this chart. Fixing quotations below the Fibo level of 127.2% will work in favor of a further fall in the direction of the next correction level of 161.8% - 1.0941.
The Fibo grid is built on extremes from November 7, 2017, and February 16, 2018.
Recommendations to traders:
You can make purchases of the EUR / USD currency pair with a target of 1.1422 and a Stop Loss order below the Fibo level of 100.0% if the pair bounces the 1.1303 correction level or when a bullish divergence is formed.
New sales of the EUR / USD currency pair will be possible with the goal of 1.1162 with a Stop Loss order above the Fibo level of 100.0%, if the pair closes below the correction level of 1.1303.
The material has been provided by InstaForex Company - www.instaforex.com