05, September 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

The euro came under the dual influence. The markets negative sentiment provides a weak economic data from the euro zone and the risk appetite - a possible transition to the conflict between Russia and Ukraine peacekeeping phase. As a result, the single currency spent the day in multidirectional trade before the ECB’s meeting. After the decision to reduce the interest rate the euro fell.

Two days price consolidation was followed by a slight increase. Then the pair decreased to a new min.

The price is finding the first support at 1.2930, the next one is at 1.2850. The price is finding the first resistance at 1.3000, the next one is at 1.3070.

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 and the Kijun-sen show 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 decreasing.

Trading recommendations

The downward movement will be continued. The pair may go to 0.2850 soon.