05, March 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

The euro lost vs the dollar in the beginning of the week, despite the relatively good economic data, in the Euro-zone statistics. It is clear that when we have rising geopolitical tensions to be careful is very important. Traders do not hurry to enter the market taking into consideration the Ukrainian conflict.

There is a strong northern movement. The price is above the Cloud and below the Chinkou Span. The upward movement will be until the Kijun-Sen is above the price. The Tenkan-Sen and Kijun-Sen are directed upwards.

Bollinger Bands is directed upwards. The bands are widening.
MACD is in a positive area, the histogram is descending.

Trading recommendations

The resistance level 1.3800 retest was followed by a rapid rebound. There was a breakthrough of a strong support level 1.3765, which in the short term opens the way for a rising trend line 1.3690. There is a possible corrective bounce up from the trend line, back to 1.3765.