08, May 2015

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General overview

The euro zone and the United States have disappointed traders with the negative macroeconomic releases. At the end of March the Old World retail sales decreased by 0.8% that point out to the weak domestic demand in the first quarter. The agency ADP has reported the new jobs low level in the private sector. Today, the US non-farm payrolls employment report will influence the market.

Buyers have broken through and consolidated above 1.1260. The breakthrough was on the increased volume. Then the pair tested this level.

The price is finding the first support at 1.1260, the next one is 1.1150. The price is finding the resistance at 1.1450.

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 shows an upward movement and the Kijun-sen shows a horizontal movement. The upward movement will be until the price is above the Cloud.

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

Trading recommendations

The price is likely to go to the resistance level of 1.1450.