To open long positions on EURUSD, you need:
From a technical point of view, nothing has changed. Buyers still need to return to the resistance level of 1.1143, from which it will be possible to see an upward correction to the maximum area of 1.1170, where I recommend fixing the profits. In the afternoon, the focus will be shifted to statistics on the United States, namely, data on GDP. In case of good data, pressure on the euro may return. In this scenario, it is best to look for purchases after updating the minimum in the area of 1.1112, subject to the formation of a false breakdown, or to open long positions on the rebound from the new support of 1.1079.
To open short positions on EURUSD, you need:
A false breakdown and a return below the resistance level of 1.1143, which the bears will try to do after the US data, will be a signal to open short positions in the euro. The main task for the second half of the day will be a test of a large support level of 1.1112, which will increase the pressure on the pair and will lead to an update of the minimum in the area of 1.1079, where I recommend fixing the profits. Under the scenario of growth of the euro above 1.1143, it is best to return to short positions in EUR/USD after updating the high of 1.1170 or to rebound from a larger level of 1.1196.
Indicator signals:
Moving Averages
Trading is below 30 and 50 moving averages, which indicates the bearish nature of the market.
Bollinger Bands
Volatility has dropped again sharply, which does not give signals to enter 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
