19, August 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

The S&P 500 lost 1.4% to 1 661.32 at the end of the trading day, showing the largest decline since June 20. The DJIA lost 225.47 points, or 1.5%, to 15, 112.19 to its lowest level since July 3. During the day, trading volume was 6.6 billion shares, an increase of 4.5% three-month average. Yields on U.S. Treasuries showed maximum levels for the last 2 years.

The number of new housing buildings in July: 896,000 homes vs. 902,000 homes.
Dealers noted that, most of all, the growth potential of the euro will be limited to Offers on the approach to 1.3390/1.3400. Short-term players in this case, just close the longs and leave a profit to the new trading week.

According to the Ichimoku indicator, the pair is in a medium upward trend. Tenkan-Sen and Kijun-sen are horizontal. Tenkan-sen is below the price. Cloud is neutral.

Bollinger bands are widen and directed slightly downward.
MACD is in a positive area, indicating the current downtrend.

Trading recommendations

In case of a successful breakout and price fixing above 1.3410, the euro will continue to grow to the mark 1.3460.

Alternative variant

Reverse break of the rising trend line and the support level 1.3300 will allow shorts to support level 1.3235, from which there was an upward rebound.