EUR/USD (a 4-hour chart)
The single European currency fell versus the dollar on Friday. The decline began at the European session when we received the mixed results of economic indicators that showed both positive and negative processes in the economy.
The pair fell to the bottom of the support area 1.3550–1.3660. The breakthrough and fixing below it will worsen the prospects and open the way to a gradual decline to 1.3295 or 1.3100. The reversal of the trend upward is available from any of the above mentioned supports.
We have a southern movement now. The sell signal is confirmed and strong. The price is being traded below the cloud and above the Chinkou Span.
The downward movement will be until the Kijun-Sen is above the price. Kijun-Sen and Tenkan-Sen are directed downwards.
Bollinger Bands is broadening being directed down.
MACD is in a negative area, the histogram is descending.
The daily support level 1.3535 is important for a decreasing tendency. There is rising trend line near 1.3540, which acts as an additional resistance on the way of sellers.
Volumes of descending trend remain approximately at the same level. As the volumes are high we expect a breakthrough of the support level 1.3535.