09, September 2016

EUR/USD (a 4-hour chart)

General overview

As it was anticipated the European Central Bank decided to leave key interest rates unchanged on Thursday.

Current situation

The tone was positive during the course of the day. Buyers were able to push the price higher and broke the level 1.1270 in the earlier European session. The pair retreated from the high after the ECB meeting. Now the price is trending to the support at 1.1270. The single European currency is heading away from the 50, 100 and 200 Day EMAs in the 4 hours chart. The moving averages maintain the bullish slope. The resistance is seen at 1.1350, the support stands at 1.1270.

The histogram grew which indicates the buyers’ strength. RSI bounced from the overbought area.

Trading recommendations

The short positions are more actual now. The EUR/USD may roll back towards the 1.1270 region. After breaking the level the price will go to 1.1200.