EUR/USD (a 4-hour chart)
We pay attention to the US first quarter GDP publication. Taking into account this economic growth second assessment and the trade balance, industrial production and employment weak macroeconomic releases for March we expected the index revision downwards and the data output within the forecasted medians. The GDP decreased by 0,7%.
The euro corrective growth is not supported by volumes and it looks quite weak. Buyers have broken through the resistance of 1.0925.
The price is finding the first support at 1.0925, the next one is 1.0790. The price is finding the first resistance at 1.1050, the next one is at 1.1150.
There is a confirmed and a strong sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement and form a “Dead Cross”. The downward movement will be until the price is under the Cloud.
The MACD indicator is in a neutral territory. The price is correcting.
We believe the growth will be continued now. The first target is the level 1.1050. We do not exclude the falls to 1.0790.