07, April 2015

EUR/USD (a 4-hour chart)

 EUR/USD (a 4-hour chart)

General overview

The European traders were on the Easter vacation yesterday. The Non-Farm negative release confirms the US economy decline, caused by the revaluation.

In the light of this we expect the corrective movement continuation. There is ahead the strong resistance at 1.1050 and we believe this level will be tested in the short term.

There was the downward trend line of 1.0925 breakthrough. The trend line breakthrough signals towards the downward trend reversal.

The price is finding the first support at 1.0925, the next one is at 1.0790. The price is finding the first resistance at 1.1050, the next one is at 1.1150. There is a confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show an upward movement and form a “Golden Cross”. The upward movement will be until the price is under the Cloud.

The MACD indicator is in a positive territory. The price is consolidating. 

Trading recommendations

After the trend line 1.0925 breakthrough upwards the way to the levels of 1.1050, 1.1150 will be opened.