07, September 2015

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General overview

The debt market dynamics also points to the bearish trend development: the German government bond yields decreased relative to their US and the UK counterparts which reduce investments attractiveness into the European assets.

All investors' attention is focused on the US labor market publication. The unemployment index decreased to 5.1% from 5.3%. The US issued the employment outside agricultural sector release. The data came lower than expected 220 thousand. The number of employees amounted to 173thousand.

The pair euro/dollar is consolidating after the sharp decline. However the pair showed the growth and tested the resistance level of 1.1150.

The price is finding the first support at 1.1050, the next one is 1.0925. The price is finding the first resistance at 1.1150, the next one is at 1.1260.

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 horizontal movement and form a “Dead Cross”. 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

We may expect the fall towards 1.1050 further on we expect a growth to 1.1260 where the pair rebound downwards.