EUR/USD (a 4-hour chart)
The ADP and ISM employment releases will lay the foundation for the Friday Non-Farm report. The leading investment bank economists from the Wall Street expect the both indicators decrease in comparison with the previous month, but now traders do not intend to buy actively the euro.
The pair broke through the support level of 1.2400 and fell to the new minimum at the level of 1.2300.
The price is finding the first support at 1.2300, the next one is at 1.2200. The price is finding the first resistance at 1.2400, the next one is at 1.2500.
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 shows a downward movement and the Kijun-sen shows 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 negative territory. The price is decreasing.
The pair needs to break below 1.2300 for a steady growth. The way to the mark 1.2200 will be opened after this breakthrough.