EUR/USD (a 4-hour chart)
GDP data for the I-st quarter of Europe was published yesterday. According to it the Eurozone economy is reduced by 0.2%. The result turned out to be worse than expected, according to the forecasts the falling should not have been more than 0.1%.
Precious metals index was published yesterday was well. Gold fell to 1409.60 dollars per troy ounce.
These weak data weakened already sluggish pair and the lowering was continued.
The pair is being traded at the level 1.2840. The price is below Chinkou-span, the sell signal is strong, The price is being traded below the Ichimoku cloud. Tenkan and Kijun are higher than the price. Ichimoku cloud is directed downward.
Bollinger bands are widening and directed down.
MACD continued lowering, having reached a maximum point.
Indicators confirm the lowering.
The pair is going down, it is under pressure by low GDP index in the euro area.
On the other hand the dollar is supported by a positive data in the U.S. and growing U.S. bond yields.
Now the pair is moving towards the trend line 1.2850/40 and does not want to change its direction. EUR/USD reached the target of TF day, we expect a turn or a correction. The pair must form a reversal pattern, for example, a hammer on the daily charts or spike on hour chart.