05, March 2015

EUR/USD (a 4-hour chart)

 EUR/USD (a 4-hour chart)

General overview

We should pay our attention to the euro zone retail sales for January. The data came out slightly better than the forecasted medians that supported the euro. However, the pair euro/dollar encountered the bears’ resistance near the 12th figure and in this connection the quotations growth will be limited by this area.

The euro continues to fall against the US dollar amid the weak volatility and the low volumes.

The price is finding the first support at 1.1040, the next one is at 1.0925. The price is finding the first resistance at 1.1170, the next one is at 1.1300.

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 horizontal movement and the Kijun-sen shows a downward movement. The downward movement will be until the price is under the Cloud.

The MACD indicator is in a negative territory. The price is falling.

Trading recommendations

The approach to the level of 1.1040 may lead to a price rebound upwards. The potential rebound target is the resistance levels of 1.1170.