29, October 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General overview

The euro was treated differently at the trades - the single currency initially declined against the dollar, and then again grew, but as a result recorded a small "profit". The Germany’s economic data, represented by the German Ifo institute, affected the euro but the US reports supported the single European currency.

The trading slightly changed according to this instrument. The euro bulls continue to push the price up to the nearest resistance level of 1.2790 amid the reduced volumes.

The testing level for its strength will be during the fundamental data release.

The price is finding the first support at 1.2730, the next one is at 1.2670. The price is finding the first resistance at 1.2790, the next one is at 1.2850.

There is a confirmed and a weak sell signal. The price is on the Cloud and it is below the Chinkou Span. The Tenkan-sen and the Kijun-sen show a horizontal movement and form a “Golden Cross”. The downward movement will be until the price is under the Cloud.

The MACD indicator is in a neutral territory. The price is increasing.

Trading recommendations

The potential decrease targets are two levels of support: 1.2670, 1.2600.