FX.co ★ Analysis and trading tips for EUR/USD on November 30

Analysis of transactions and tips for trading EUR/USD

Further growth became limited because the test of 1.0988 took place when the MACD line moved upward quite sharply from zero. Sometime later, another test occurred, and this time the MACD line just started to rise from zero, prompting a signal to buy. However, the price did not increase, leading to losses.

Data on the eurozone's consumer confidence indicator and Germany's consumer price index did not provide support for euro, and in the afternoon, the revised report on US GDP led to a rise in dollar, resulting in a decline in EUR/USD. However, this did not bring the quote lower than the local lows and led to the formation of a sideways channel in which the pair continues to be at the moment.

Ahead lies the reports on consumer prices, unemployment rate, and retail sales which, if disappoints, will cause a decrease in euro. Only a hawkish statement from ECB President Christine Lagarde will halt the decline.

For long positions:

Buy when euro hits 1.1001 (green line on the chart) and take profit at the price of 1.1045. Growth will occur in continuation of the upward trend, following good statistics from the eurozone.

When buying, make sure that the MACD line lies above zero or rises from it. Euro can also be bought after two consecutive price tests of 1.0958, but the MACD line should be in the oversold area as only by that will the market reverse to 1.1001 and 1.1045.

For short positions:

Sell when euro reaches 1.0958 (red line on the chart) and take profit at the price of 1.0915. Pressure will return in the case of an unsuccessful attempt to consolidate at the monthly high.

When selling, make sure that the MACD line lies under zero or drops down from it. Euro can also be sold after two consecutive price tests of 1.1001, but the MACD line should be in the overbought area as only by that will the market reverse to 1.0958 and 1.0915.

What's on the chart:

Thin green line - entry price at which you can buy EUR/USD

Thick green line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further growth above this level is unlikely.

Thin red line - entry price at which you can sell EUR/USD

Thick red line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further decline below this level is unlikely.

MACD line- it is important to be guided by overbought and oversold areas when entering the market

Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.

And remember that for successful trading, you need to have a clear trading plan. Spontaneous trading decision based on the current market situation is an inherently losing strategy for an intraday trader.