09, May 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

The other day we received a lot of fundamental news. A large number of particularly important fundamental data on EUR (announcement of the interest rate, the ECB press conference), including the FOMC members presentation will give a high volatility to the price movement.

The pair fell yesterday having broken several levels at once. The trading stopped at 1.3840.

The first support is 1.3860, the next one is 1.3800. The first resistance is 1.3950, the next one is 1.3950.

There is a confirmed and weak buy signal. The price is above the Cloud and it is above the Chinkou Span.

The downtrend movement will be until the price is under Kijun-Sen.

The MACD histogram is pointing down, indicating the current downtrend movement rates.

Trading recommendations

If the pair keeps falling it will reach 1.3800 soon. If the pair consolidates below the Ichimoku it can continue a downward movement to 1.3760.