30, January 2014

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General Overview

The absence of important news from the Eurozone has left the Euro under the general mood of the market; it was realized through the side trade versus the dollar and the closing on Tuesday session opening price.

The pair is still unable to continue the growth, however it remains above the range 1.3550–1.3660, therefore the risks are still shifted towards the growth to the resistance 1.3830.

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 is horizontal and Tenkan-Sen is directed downwards.

Bollinger Bands is narrowing being directed down.
MACD is in a positive area, the histogram is descending.

Trading recommendations

If the growth rate does not stop, the resistance level 1.3700–1.3710 retest is expected. The growth signal is a breakthrough and consolidation above 1.3710. A possible growth target is 1.3800.