24, July 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

The euro was the most vulnerable instrument and fell. The euro was pressured by the mood prevailing on the further easing expectations in the ECB policy and the understanding that the European economy is exposed to the greater risks due to the events in Ukraine. The sellers have not stopped at the support level of 1.3520. The price’s continued consolidation has led to the downward trend continuation. Besides the trading volumes actively support the euro decrease against the U.S. dollar.

The price is finding the support at 1.3420. The price is finding the first resistance at 1.3480, the next one is at 1.3520.

There is a confirmed and strong sell signal. The price is under the Cloud and it is above the Chinkou Span. The Tenkan-sen and the Kijun-sen show a downward movement. The downward movement will be until the price is under the Cloud. The MACD indicator is in a negative territory. The price is consolidating.

Trading recommendation

The downward movement will be continued. The pair may go to 1.3420 soon.