Source: Forex Analysis
To open long positions on EURUSD, you need:
Buyers will try to stay above the support of 1.1290 today, and the formation of a false breakdown there will be the first signal for opening long positions in the expectation of updating the weekly maximum in the area of 1.1341, where I recommend taking the profit. Good data on industrial production can help bulls return to the market. In case of a decline under the support of 1.1290 in the first half of the day, it is best to consider long positions on the rebound from the low of 1.1253.
To open short positions on EURUSD, you need:
Bears will try the second time to break below the support of 1.1290, the breakdown of which will be a signal for the opening of short positions in the euro. A bad report on industrial production, which is expected in the morning, will help push EUR/USD to the area of lows of 1.1253 and 1.1203, where I recommend taking the profit. If the demand for the euro returns and the yesterday’s downward movement can be considered as nothing more than a correction, it is best to consider the short position for a rebound from the weekly maximum around 1.1341.
Trading is below 30 and 50 moving averages, which indicates a possible decline in EUR/USD.
In case of a decline in the euro, the support will be provided by the lower limit of the indicator in the area of 1.1275, while the growth will be limited by the resistance of 1.1320.
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
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