EUR/USD (a 4-hour chart)
The two-day EU summit started on Thursday. We expect to hear some comments regarding the state of the regional economy that can impact the euro dynamics. Besides Eurozone Current Account report some strong USA reports pressured the pair. Producer Price Index ex Food & Energy sharply rose by 0.4% in January against the expected growth of 0.1%.
The first support lies at 1.1050 and then at 1.0925. The first resistance stands at 1.1150, the next one is at 1.1260
There is a confirmed and a strong sell signal. The price is under the Ichimoku Cloud and it is under the Chinkou Span. The Tenkan-sen and the Kijun-sen show a downward movement. The downward movement will be until the price is under the Cloud.
The MACD indicator is in a negative territory. The price is decreasing.
The potential decrease targets are two levels of support: 1.1050 and 1.0925.