Trading recommendations for EUR / USD on August 20
Analysis of transactions
Sell transactions from the level of 1.1911 brought more than 50 points of profit yesterday. This is because the euro dropped in rate after the White House announced that informal negotiations between Republicans and Democrats were underway on the approval of a new aid package for the US economy.
The decrease is certain to continue today, mainly because traders will wait for the details of the talk between the two parties. Any good news will drive the US dollar up, and the euro down
- Buy positions when the quote reaches the level of 1.1856 (green line on the chart), targeting a rise to the level of 1.1906. An increase may occur today only if the data on the US labor market comes out negative. Take profit at the price level of 1.1906.
- Sell positions after the quote reaches the level of 1.1825 (red line on the chart), targeting a drop to the level of 1.1787. Strong data on the US labor market will lead to a sharp decrease in the euro, thus, take profit at the level of 1.1787.
