EUR/USD (a 4-hour chart)
Analysis of the Forex market for July 5th shows that the price is in the downward trend now. The current sell signal is strong and confirmed as Chinkou span is below the price and the price is below the Ichimoku cloud. The pair continues falling having fell after Mario Draghi’s speech.
The price testes 1.2900 yesterday, we expect it to work out this level soon. The downward movement is maintained as long as the price is below the Kijun-Sen.
Chinkou Span is below the price that is a confirmation of the current sell signal.
Bollinger Bands show a continuation of the downward movement, its bands are widening.
MACD is in a negative area, indicating the current downward movement.
We expect a short-term downward movement in the area 1.3000-1.2900. If the level 1.2900 is broken, we believe the pair to move to the area 1.2858 from which it can bounce back to the top.
Should the rising structure be developed the level 1.3027 will become a key resistance in it. If the price passes this point it will continue going to 1.3069. The level 1.3090 is considered as a potential value for the top.