12, September 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

German member of the ECB Executive Board Joerg Asmussen warned about the side effects if the Fed starts to narrow the stimulus measures. The ECB, like any other central bank, does not like the situation when the long-term bond yields are rising uncontrollably.

The single currency looks confident, expanding the bearish trend last week to reach new highs. However, the closer it is to 1.35, the harder it is to keep the elevation.

According to the Ichimoku analysis the pair is located in the medium uptrend. The pair is growing on the 4 hour time-frame. The EUR/USD broke the Ichimoku cloud up. Tenkan -Sen and Kijun -Sen are directed upwards. Tenkan -sen is below the price. The cloud is directed up.

Bollinger bands are directed up broadening.
The MACD histogram has left a negative zone and growing.

Trading recommendations

If the daily trend line 1.33 fails to halt the growth and is broken up, it is expected to approach another strong mark, located at the level of 1.3340. Fixing prices above 1.3300 will allow the bulls to raise prices to 1.3340.