13, June 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General overview

The Forex market analysis shows that the price has completed the corrective movement, but has not worked out the critical line Kijun-sen and continues an upward movement now. The current buy signal is strong and confirmed as Chinkou Span is above the price and the price is above the Ichimoku cloud.

The upward movement is targeted to the first resistance level 1.3340. If the price breaks it the upward movement may continue to the second resistance level 1.3480. The upward movement is kept as long as the price is above the Kijun-Sen. If the price consolidates below this critical line, that could start a downward movement to the first support level.

Chinkou Span is above the price that confirms the current buy signal and indicates bullish sentiment of traders.

Bollinger bands show an upward movement, the band once again slightly expanded and directed upwards.
MACD is pointing up, indicating that the current upward movement.

Trading recommendations

Our forecast remains bearish. The development of negative dynamics to the level 1.3100 will confirm the break below the trend line near 1.3190. There is a short-term resistance at the level 1.3340.