13, October 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General overview

Investors’ sentiment has changed with the eurozone economic data and the European currency was in the sales wave. The price movement, directed to the rising channel, has turned down.

The price turned back to the support level of 1.2600 amid the high-volume that has acted as the strong resistance for a long time. The level breakthrough has not occurred yet.

The price is finding the first support at 1.2600, the next one is at 1.2500. The price is finding the first resistance at 1.2670, the next one is at 1.2730.

The price is in the Cloud and it is under the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows an upward movement.

The MACD indicator is in a neutral territory. The price is decreasing.

Trading recommendations

The price is likely to go to the downward trend line 1.2600. The potential decrease targets are the support levels: 1.2500, 1.2400.