02, December 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

The U.S. dollar was trading downwards versus the most major currencies on Thursday, amid the holiday in the U.S. and the lack of any macro statistics. Euro was being traded up amid positive inflation data in Germany and Spain. ESI rose in November to the highest level since August 2011 from 98.5 to 97.7 in the previous month etc., while the growth only to 98 was expected. Very important resistance level 1.3600 is breached. The following marks on the path of growing euro will perform as two resistance levels: 1.3660 and 1.3700.

The pair is growing. Chinkou Span is below the price, and the price is above the Ichimoku cloud. We have a strong buy signal. The pair is being corrected upwards. Tenkan-Sen and Kijun-sen are following the pair up, Kijun-sen is horizontal and Tenkan-Sen is going upwards. The Cloud is growing.

The upward movement remains as long as the Kijun-sen is located below the price.

Bollinger bands are directed upwards. The MACD histogram is shifted into the overbought zone, its histogram is reducing.

Trading recommendations

The price broke 1.3600 that is a very important support level. The next target is 1.3662 and 1.3702. In the case of a rebound the price will go to 1.3535.