To open long positions on EUR / USD, you need:
Buyers of the European currency urgently need to get above the resistance level of 1.1398, which will lead to the breakdown of the triangle formed yesterday, and to the continuation of the upward correction with the update of the highs of 1.1438 and 1.1474, where I recommend fixing the profit. The formation of a false breakdown at 1.1371 in the first half of the day can also be an impetus to the increase of long positions by large investors. Otherwise, it is best to return to EUR / USD purchases after updating the support for 1.1337 or to rebound from the new monthly minimum of 1.1300.
To open short positions on EUR / USD, you need:
Sellers need to form a false breakdown at the resistance level of 1.1398 or break through the support of 1.1371, and also to consolidate below this range, which will lead to the formation of a new downward wave in EUR / USD with a minimum of 1.1337 and 1.1300, where I recommend fixing the profits. In the case of growth above the resistance level of 1.1398 against the background of good data on GDP of Italy and the Eurozone, which are expected in the first half of the day, short positions can be returned to rebound from the levels of 1.1438 and 1.1474.
Indicator signals:
Moving Averages
Trade is conducted on the same level with the 30- and 50-day average, which indicates market uncertainty and the formation of a large movement.
Bollinger bands
There are no signals to enter the market on the Bollinger Bands indicator due to low volatility.
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
