EUR/USD (a 4-hour chart)
The German inflation reports pointed out to the continued price stagnation in September that was at the very low levels after their final evaluation - September CPI has kept the previous two months indicators, having fixed 0.0% m/m and 0.8% y/y. The US economic weak data provided the euro growth popularity.
The US dollar sharply weakened its position against its major currency pairs. The formed correction was followed by very high volumes on many trade assets that indicate the further dollar decrease.
The price is finding the first support at 1.2730, the next one is at 1.2670. The price is finding the first resistance at 1.2790, the next one is at 1.2850.
There is a confirmed and a strong buy signal. The price is above the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement. The upward movement will be until the price is above the Cloud.
The MACD histogram is in a positive territory. The price is growing.
The current upward movement is considered as a correction so far. The correction can reach 1.2850 where we expect a return to the fall. We expect the return to a decrease every moment now.