4 hour timeframe
Technical details:
Senior linear regression channel: direction - down.
The younger linear regression channel: direction - down.
Moving average (20; smoothed) - up.
CCI: 12.8973
The currency pair EUR / USD on Thursday , November 22, continues to trade near the moving average line and can neither resume upward movement nor gain a foothold below it. Thus, traders are advised to wait for the clarification of the situation on the instrument: either overcoming the murray level "3/8" or overcoming the moving average.
Moreover, the meeting between British Prime Minister Teresa May and European Commissioner Jean-Claude Juncker was held, but all that is known at the moment is that "very good progress was made at the meeting." In principle, we hear such phrases regularly, and although recently the likelihood that the UK and the European Union are still waiting for an orderly "divorce" has grown, there are still quite a lot of "buts". Market participants need only to wait for new data on this topic and respond to them. What is the end of the whole procedure Brexit now? It is even difficult to imagine as there are many possible options. To date, no important macroeconomic report has been scheduled in the eurozone since in the States, today is a holiday - Thanksgiving Day. Thus, a low instrument volatility can be maintained throughout the day. Return the demand for the dollar can be overcome bears moving average line.
Nearest support levels:
S1 - 1.1353
S2 - 1,1292
S3 - 1.1230
Nearest resistance levels:
R1 - 1,1414
R2 - 1.1475
R3 - 1.1536
Trading recommendations:
The EUR / USD currency pair builds up an uptrend. If the pair manages to overcome the level of 1.1414, then traders will be able to open new longs with a target of 1.1475, since the instrument will remain in the hands of the bulls.
It is recommended to open sell orders if the pair still overcomes the moving average line and ideally the Murray level "2/8" - 1.1353. Then, the downward movement can begin with the target of 1,1292.
In addition to the technical picture, you should also consider the fundamental data and the time of their release.
Explanations for illustrations:
The senior linear regression channel is the blue lines of unidirectional movement.
The junior linear regression channel is the purple lines of unidirectional movement.
CCI - blue line in the indicator window .
The moving average (20; smoothed) is the blue line on the price chart.
Murray levels - multi-colored horizontal stripes.
Heiken Ashi is an indicator that colors bars in blue or purple.
The material has been provided by InstaForex Company - www.instaforex.com