09, January 2015

EUR/USD (a 4-hour chart)

 EUR/USD (a 4-hour chart)

General overview

Germany will publish the industry orders data. In November the PMI manufacturing sector leading indicator fell below 50%, to its lowest level since June 2013, indicating the weak data output.

The pair EUR/USD tested the support level of 1.1770 and is consolidating below the resistance level of 1.1850.

The price is finding the first support at 1.1770, the next one is at 1.1690. The price is finding the first resistance at 1.1850, the next one is at 1.1950.

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 correcting.

Trading recommendations

The approach to the level of 1.1850 may lead to a price rebound down. The potential rebound targets are the levels of support 1.1770 and 1.1690.