4-hour timeframe
Technical details:
The senior linear regression channel: direction - up.
The junior linear regression channel: direction - down.
Moving average (20; smoothed) - down.
CCI: -152.0108
On the third trading day of the week, the EUR / USD currency pair continues its downward movement. It cannot be said that the Euro currency began to fall in price after another weak macroeconomic statistics package from the eurozone (it was published yesterday), since the US statistics, also published the day before, did not please the traders. On the whole, we predicted a decline in the pair a few days ago, based on the fact that, above the level of 1.1500, the pair will require strong fundamental reasons for continued growth, which are not. To date, not a single important macroeconomic publication has been planned either in the US or in the EU. Just a few hours ago, a speech was made by US President Donald Trump. He did not say anything significant, but regular calls to unite and criticize "ridiculous partisan investigations". Therefore, the market, even in the absence of news, did not respond to the words of the American leader. Trump also hinted that joint efforts of the Republican and the Democratic Party are needed for "ridiculous" wars, clearly hinting at China. From a technical point of view, as before, we expect a decline to the area of 1.1290, around which the further fate of the tool will decide.
Nearest support levels:
S1 - 1.1353
S2 - 1.1292
S3 - 1.1230
Nearest resistance levels:
R1 - 1.1414
R2 - 1.1475
R3 - 1.1536
Trading recommendations:
The currency pair EUR / USD continues to move down. Therefore, it is now recommended to trade short positions with the first goal of 1.1353. Manual reduction of the short positions will be possible when the Heikin Ashi indicator turns up.
Buy-positions will become relevant no earlier than the price fixing above the moving average line. In this case, we will again expect an upward movement with the target of 1.1475.
In addition to the technical picture should also take into account the fundamental data and the time of their release.
Explanations for illustrations:
The senior linear regression channel is the blue lines of the unidirectional movement.
The younger linear regression channel is the purple lines of the unidirectional movement.
CCI - blue line in the indicator window.
The moving average (20; smoothed) is the blue line on the price chart.
Murray levels - multi-colored horizontal stripes.
Heikin Ashi is an indicator that colors bars in blue or purple.