EUR/USD (a 4-hour chart)
Economic sentiment release supported the euro on Tuesday. Yesterday Draghi and Yellen gave their speeches. According to Draghi the inflation is moderate in the Eurozone. Yellen said that the rates would remain at the current low levels a long period of time. According to Yellen the USA economy showed a strong growing of the GDP.
The Tuesday trades started with a decrease. The pair was falling the whole day. The euro broke the level of 1.1300 and tested the level of 1.1250. The EUR/USD remained in the descending channel. The indicators recommend short positions. The resistance is at 1.1300, the support comes in at 1.1250.
MACD is in the positive area. The indicator decreased that indicated the current fall of the pair. If MACD gets into the negative area there will be a sell signal. RSI decreased and approached the oversold area. The decrease of the signal line gives us a sell signal. The Moving Averages (50, 100 and 200) are parallel to each other. The Moving Averages direction is horizontal. The price stopped at the MA.
Bears returned to the market. As we expected the price was not able to grow above 1.1370. We expect the decrease to be continued now. We will sell if the pair consolidates below the level of 1.1250.