To open long positions on EUR / USD pair, you need:
Although the buyers have missed the morning support level, there has not yet been a major drop in the euro. The main task for the second half of the day will be the return and consolidation above the resistance of 1.1340, which will lead to a larger upward trend with the update of the maximum near 1.1374, where I recommend to fix the profit. If the pressure on the euro continues, then it is best to consider new long positions after a false breakdown of the level of 1.1307 or a rebound from the new weekly minimum around 1.1273.
To open short positions on EUR / USD pair, you need:
As long as the trade is below 1.1340 resistance, pressure on the euro will continue and a decline once again to the morning support level of 1.1307 may lead to its breakdown with access to new lows in the area of 1.1273 and 1.1226, where I recommend to take profits. In case of growth on the resistance of 1.1340 in the second half of the day, I recommend returning to the short positions in EUR / USD to rebound from the maximum of 1.1374.
Indicator signals:
Moving averages
Trade is conducted below the 30- and 50-day moving averages, which indicates a further downward trend of the euro.
Bollinger bands
The morning support level around the lower limit of the Bollinger Bands indicator has worked for itself but its repeated test around 1.1307 may lead to a further sale of EUR/USD pair.
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
The material has been provided by InstaForex Company - www.instaforex.com