16, July 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

Analysis of the Forex market for July 16th shows that the price is still in the upward trend now on the weekly chart. The current buy signal is weak and confirmed as Chinkou span is below the price and the price is above the Ichimoku cloud.

The price is being consolidated in a price range 1.3000- 1.3080. The upward movement will be continued as long as the price is above the Kijun-Sen.

Chinkou Span is below the price that is a confirmation of the current buy signal. The Kijun-Sen and Tenkan-Sen are directed upwards. The Kijun-Sen is horizontal. The Cloud has a neutral formation.

Bollinger Bands indicator shows an upward movement, its bands are narrowing.
MACD is in a positive area, indicating the current upward movement. The histogram is declining.

Trading Recommendations

The purpose of a pair this week is the recovery towards 1.3208, a last week high. There is a growing pressure on the resistance 1.3091. The key level for the breakthrough is a lower high 1.3123 reached last Thursday as its breakthrough will give 1.2999 the status of "bear failure" and will give a signal to the full correction to the peak 1.3208. We need a break of a single support 1.2950 to question the bullish plans.