26, August 2016

EUR/USD (a 4-hour chart)

General review

Yesterday, the EURUSD pair showed downward movement, breaking and consolidating below 1.1291 level. At the same time, today, after the publication of business climate index in Germany, the pair EURUSD, significantly strengthened, returning to the level of 1.1291. Today US data showed that core orders for durable goods rose in July by 1.5%, compared to June, exceeding the expectations of analysts. The volume of durable goods orders in the US is growing faster, adding 4.4% in July, compared to June, with growth forecasts of 3.3%. The number of initial claims for for unemployment benefit in the US totaled 261,000, with projections of 265,000.

Current situation

Pushing back off the level 1.1245 the pair become stronger in the area of 1.1295. Market activity has been reduced.

Trading recommendations

We expect consolidation trade within the boundaries of 1.1245-1.1325, 1.1340. At least before the head of FED speech.