03, February 2016

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General overview

The Eurozone published statistics did not impact the pair. The German manufacturing PMI exceeded traders’ expectations, reaching 52.3 against the forecast and the previous value of 52.1. Meanwhile, the Markit Manufacturing PMI has coincided with the forecast at the level of 52.3.

The first support lies at 1.0800 and then at 1.0730. The first resistance stands at 1.0925, the next one is at 1.1050.

There is a confirmed and a strong buy signal. The price is above the Ichimoku Cloud and it is above the Chinkou Span. The Tenkan-sen shows an upward movement and the Kijun-sen shows a horizontal movement forming a “Golden Cross”. The upward movement will be until the price is above the Cloud.

The MACD indicator is in a positive territory. The price is correcting.

Trading recommendations

We suppose the pair will form a consolidation at the current levels. The buyers need to break above 1.0925 for a steady growth.