19, March 2014

EUR/USD (a 4-hour chart)

 EUR/USD (a 4-hour chart)

General Overview

The interest in the euro, supported by a slight increase in the risk appetite has allowed the single currency to record a profit in trading versus the dollar. Perhaps, it was the result of the reducing the geopolitical tensions, as the main event of the moment is a referendum in the Crimea, provoked an armed clashes, the occurrence of which could result in the outbreak of war in the Central Europe.

The support is 1.3860. The resistance is 1.3925.

There is a strong northern movement. The price is above the Cloud and below the Chinkou Span. The upward movement will be until the Kijun-Sen is above the price. The Tenkan-Sen is crossing the Kijun-Sen upward. Both lines are horizontal.

Bollinger Bands indicator is broadening showing high market volatility.
MACD histogram is in the positive area. The indicator is decreasing, giving a sell signal.

Trading recommendations

There is a quite uncertain euro growth versus the U.S. dollar. The nearest resistance level 1.3925 is suitable for the volume lowering.

For its continued growth, buyers need to break and consolidate above 1.3925. As a result, the breakthrough opens the way for the buyers to the marks: 1.3960 1.4000 1.4050.