To open long positions on EURUSD you need:
The growth of new jobs in the US non-farm sector, along with an increase in the overall unemployment rate, confused markets on Friday, but statements by the Fed chairman about interest rates returned demand for risky assets. The current task of euro buyers is to break through and consolidate above the resistance of 1.1437 , which will maintain an upward potential and lead to an update of a high of 1.1475, where I recommend taking profits. The main goal for the first half of the week will be the update of the high of 1.1515. A signal to buy will also be the formation of a false breakdown in the support area of 1.1407. Otherwise, you can open long positions immediately to rebound from 1.1378.
To open short positions on EURUSD you need:
Weak data on retail sales in the eurozone can lead to the formation of a false breakdown in the area of resistance 1.1437, and then to return EUR/USD to the intermediate support level of 1.1407, which will only increase the pressure on the euro and lead the pair to a larger area 1.1378, where I recommend profit. In the case of continued growth in the trend in the first half of the day above the resistance of 1.1437, it is best to open short positions to rebound from the high of 1.1475.
Indicator signals:
Moving averages
Trade is conducted above the 30-day and 50-day moving averages, which indicates a continuation of the upward trend.
Bollinger bands
In the event of a decline in the euro, support will be provided by the lower limit of the Bollinger Bands indicator, which is located in the area of 1.1370. You can also buy euros in the event of a breakdown of the upper boundary of the indicator in the 1.1440 area.
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
