EUR/USD (a 4-hour chart)
The US retail sales were published the other day. It is worth noting that there was traditionally the retail sector sales increase in November. The positive news will support the US dollar. The Brent oil set a new five year low that also plays into the bulls’ hands within the dollar.
There was the resistance level of 1.2400 breakthrough. The bearish trend turned upwards amid the mentioned breaks. Nevertheless, the pair decreased and broke through the level of 1.2400 downwards.
The price is finding the first support at 1.2300, the next one is at 1.2200. The price is finding the first resistance at 1.2400, the next one is at 1.2500.
The price is in the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement and form a “Golden Cross”.
The MACD indicator is in a positive territory. The price is correcting.
We believe the growth will be continued now. The first target is the level 1.2500, the next one is 1.2600.