To open long positions on EURUSD you need:
Yesterday, buyers of the euro made several attempts to save the situation, but the correction was obvious. At the moment, it is best to return to long positions on a false breakdown from the level of 1.1348, after updating yesterday's low, or to rebound from a larger support of 1.1317. The main task of buyers will be to return to a resistance of 1.1374, which will keep the lower limit of the current ascending channel and continue the euro's growth to highs of 1.1400 and 1.1430, where I recommend to take profit.
To open short positions on EURUSD you need:
The Fed chairman did not say anything new yesterday, so the downward correction in the euro continued. Currently, it is best to consider short positions after the formation of a false breakdown in the resistance area of 1.1374, or after a successful breakdown and consolidation below a support of 1.1348, which will lead EUR/USD to new lows of 1.1317 and 1.1286, where I recommend taking profits. In case of growth above 1.1374, the 1.1400 area will be a good level for opening short positions.
Indicator signals:
Moving averages
Trade moved below 30 and 50 moving averages, which indicates the formation of a downward correction. The pair's growth to the moving average will be a signal to open new short positions.
Bollinger bands
An upward correction will be limited to the middle of the channel in the area of 1.1374 and the upper boundary of the indicator in the area of 1.1395.
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
