13, March 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General overview

The euro is being traded at the taken levels. Apparently euro feels comfortable near the level 1.30 as it stopped here.

The market is in equilibrium, the balance of positive and negative is in a counterbalance, though, the negative predominates as the Eurozone economy is not improving. Even Germany which has dragged on itself the whole Europe experiences difficulties and shows not particularly happy statistics.

The pair is trading at the lower edge of the Ichimoku cloud. The pair is gaining strength and is waiting for favorable news to continue to move in one or another direction.

The sell signal is strong. The Chinkou Span is below the price, the pair is trading below the Ichimoku cloud. The northern movement will be as long as the price is below the Kijun-Sen (1.3042).

The Chinkou Span and Kijun-sen are horizontal, indicating the lateral movement.

All Bollinger lines are horizontal as well.

MACD shows the signal to sell. Its histogram is turning down.

Trading recommendations

As we can see, the southern movement continues. We recommend opening short positions.
The first target is 1.2940. Should the pair overcome this level the price will go to 1.2895.

When opening orders you should consider the fundamental news and the time of its release.