To open long positions on EURUSD, you need:
A weak report on orders in the German industry and unconvincing forecasts of the European Commission led to pressure on the euro, which kept the pair in a narrow side channel and did not allow to continue growth. The main goal remains the breakdown and consolidation above the resistance of 1.1218, which will lead EUR/USD to the maximum area of last week 1.1260 and will retain the upward potential with the test levels of 1.1282 and 1.1301, where I recommend fixing the profits. In a decline scenario, it is best to return to long positions in euro after a correction down from the support of 1.1180 or a rebound from a larger area of 1.1138.
To open short positions on EURUSD, you need:
The bears were satisfied with the weak report on Germany and managed to form a false breakdown in the resistance area of 1.1217. As long as the trade is conducted below this level, the pressure on the euro will continue, which will lead to a decrease and consolidation below the support level of 1.1180, the breakdown of which will push EUR/USD to the minimum area of 1.1138 and 1.1112, where I recommend fixing the profits. With the euro growing above the resistance of 1.1218 in the second half of the day, against the background of the absence of important fundamental statistics for the United States, it is best to open short positions to rebound from a maximum of 1.1260, but the intermediate resistance may be the level of 1.1240.
Indicator signals:
Moving Averages
Trading is conducted in the area of 30 and 50 moving averages, which continues to indicate the lateral nature of the market.
Bollinger Bands
The volatility of the indicator has decreased, which does not give signals on entering the market.
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
