EUR/USD (a 4-hour chart)
Earlier this week, the euro fell against the dollar. The new trading week began with the reduction of the pair to the level 1.3070, which was caused by the situation on Cyprus, and the uncertain future of this country economy.
Later, EUR/USD regained some positions amid weak economic data from the U.S. and the European positive data on foreign trade, but the pair was not able to maintain the position and went to the local maxima 1.3010. On Tuesday, the pair moved slowly in the lateral channel, the pair went up and then returned to the level 1.3040. Yesterday, the focus was on the German statistics, which was not too positive lately. According to experts the sentiment index and the ZEW current conditions index should show a negative trend.
For this reason or another, but the pair gained an impulse, growing from 1.3040 to 1.3185, where it ended Tuesday trading.
We have a strong buy signal. The price is above the Ichimoku and above the Cloud. The Tenkan-Sen is below Kijun-Sen. Tenkan-Sen and Kijun-Sen are directed upward. The Cloud is growing.
Bollinger lines are expanding. The middle line indicates a growth.
MACD shows a buy signal.
In the case of growth, the pair will go to 1.3250, but only after consolidation at 1.3150.
In the case of falling it is advisable to place the pending orders to buy at 1.3000 (1.2950), with take-profit at the level 1.3120. We recommend placing pending orders to sell below the support level 1.2950.
Place a stop loss above the Kijun-sen in the case of a southern movement and below the Kijun-sen, in the case of a north one, respectively. As the price moves we move and stop level after it.
When you open positions consider the fundamental analysis and the time economical news is released