13, May 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

There was a false the resistance level 1.3945 break with passing the previous maximum 1.3965 formed in March. However, the euro fell down on low volumes during the ECB press conference.

The euro decrease against the U.S. dollar was followed by the strong level support 1.3800 and the first rising trend line breakthrough.

The first support is 1.3760, the next one is 1.3710. The first resistance is 1.3800, the next one is 1.3860. There is a confirmed and strong sell signal. The price is under the Cloud and it is under the Chinkou Span.

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

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

Trading Recommendations

The second trend line and rising support level 1.3680 from we saw the price bounce for the past two months will be the potential target for the price decrease.