24, January 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

Yesterday, there was a strong movement on the euro/dollar. The pair is trading at 1.3670-1.3700 area. This area is acting as resistance now. The lower limit of the range has been broken.

We have a northern movement. The buy signal is confirmed and strong. The price is being traded above the cloud and below the Chinkou Span.

The upward movement will be until the Kijun-Sen is below the price. Kijun-Sen and Tenkan Sen are directed upwards.

Bollinger Bands is broadening.
MACD is in a positive area, the histogram is growing.

Trading recommendations

Thursday the pair was in a rally up. The pair managed to break several levels at once. Now the pair is above 1.3670. We believe the pair will not grow today. On Friday and early next week, the pair will consolidate its positions. We expect a pullback down to 1.3650 and 1.3600.