EUR/USD: plan for the American session on October 8th. The growth of industrial production in Germany kept the euro from falling, but the bulls' target remains the level of 1.0997

To open long positions on EURUSD, you need:

German industrial production data were better than economists' forecasts and showed growth, which allowed euro buyers to keep the pair above the support of 1.0965 and gradually return to the resistance of 1.0997. However, only the breakdown of this range will ensure the growth of EUR/USD to the highs in the area of 1.1022 and 1.1067, where I recommend taking the profit. In the scenario of a decline in the euro in the afternoon, the important task of the bulls will remain to protect the support of 1.0965, but much will depend on producer prices in the United States. If the data indicate an increase in inflation, a breakdown of this range is not excluded. In this case, it is best to look for new long positions from the lows of 1.0935 and 1.0905. The formation of a false breakdown in the area of 1.0965 will also be a direct signal to buy the euro in order to return to the upper border of the side channel 1.0997.

To open short positions on EURUSD, you need:

For bears, nothing has changed. All that is required today by euro sellers is the formation of a false breakdown in the resistance area of 1.0997. However, a more important task remains to break and consolidate below the support of 1.0965, which can be counted on after the release of good data on producer prices in the United States, the growth of which will indicate a strengthening of inflationary pressure. Only this will push EUR/USD to the lows in the area of 1.0935 and 1.0905, where I recommend taking the profit. In the scenario of the euro growing above the resistance of 1.0997 in the afternoon, it is best to consider short positions on a rebound from a maximum of 1.1022.

Indicator signals:

Moving Averages

Trading is just above the 30 and 50 moving averages, indicating that buyers remain in the market.

Bollinger Bands

A break of the upper border of the indicator in the area of 1.0993 will lead to a larger wave of euro growth. While the breakthrough of the lower border in the area of 1.0965 will increase the pressure on the euro.

Description of indicators