28, June 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

Analysis of the Forex market for June 28 shows that the correction is over and the price resumed the downward trend. The current sell signal is strong and confirmed as Chinkou span is below the price and the price is below the Ichimoku cloud. The first target of the downward movement is the support level 1.3000.

If the price breaks this target the downward movement may proceed to the next support level 1.2900. The downward movement is maintained as long as the price is below the Kijun-Sen.

Chinkou Span is below the price that is a confirmation of the current sell signal.

Bollinger Bands show a continuation of the downward movement.
MACD is in a negative area, indicating the current downward movement.

Trading Recommendations

The European currency continues to be under pressure. M.Dragi again said the day before yesterday that the Eurozone credit and financial policy would remain stimulated for a long time. As the result the U.S. dollar will get new advantages and continue to strengthen.

Many experts expect the continuation of the downtrend to 1.2960, we prefer to sell from 1.3059.