23, August 2016

EUR/USD (a 4-hour chart)

General review

The pair EURUSD opened with a slight downward gap at the beginning of the session, but market played back most of the losses and return to resistance level 1.1312-1.1320 area.

Current situation

Last week the final consolidation above 1.1320 failed to happen. Today's upward pullback from 1.1272 to 1.1312 could be a result of the closing stops.

Trading recommendations

EUR/USD trend remain bullish as pair is trading above the 61.8 Fibonacci extension. However, the situation is not clear – upward and downward movements are both possible- we stay out of the market to clarify the situation.