4h
The EUR / USD currency pair rebounded from the correction level of 76.4% - 1.1423 with the formation of a bearish divergence at the MACD indicator and a reversal in favor of the American currency. As a result, on December 5, the process of falling quotations can be continued in the direction of the corrective level of 100.0% - 1.1303. Rebounding the pair from the Fibo level of 100.0% will allow traders to expect a turn in favor of the EU currency and some growth in the direction of the correction level of 76.4%. Fixing quotes below the Fibo level of 100.0% will increase the likelihood of a further fall in the direction of the next correction level of 127.2% - 1.1162.
The Fibo grid is built on extremes from August 15, 2018, and September 24, 2018.
Daily
On the 24-hour chart, the EUR / USD currency pair rebounded from the Fibo level of 127.2% - 1.1285, but now it has already begun the process of returning to this level of correction. The new rebound from the level of 127.2% will again allow us to count on a turn in favor of the EU currency and some growth in the direction of the correction level of 100.0% - 1.1553. There is no maturing divergence in any indicator. Fixing the pair below the Fibo level of 127.2% will increase the probability of a further fall in the direction of the next correction level of 161.8% - 1.0941.
The Fibo grid is built on extremums 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 1.1423 and a Stop Loss order under the Fibo level of 100.0% if the pair bounces off the level of 1.1303.
Sales of the EUR / USD currency pair can be carried out with a target 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