31, March 2016

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

General overview

Janet Yellen’s speech made a huge change in the quotations dynamics – the price flew to the weekly highs in minutes. The positive consumer confidence data in the United States could not support the dollar. Meanwhile, the March index jumped to 96.2 from 92.2 against the forecast of 94.0. Germany published the preliminary March data on the inflation at the level of 0,8% against the forecasted 0,6%.

The first support lies at 1.1260 and then at 1.1150. The first resistance stands at 1.1350, the next one is at 1.1450.

There is a confirmed and a strong buy signal. The price is above the Ichimoku Cloud and it is above the Chinkou Span. The Tenkan-sen shows an upward movement and the Kijun-sen shows a horizontal movement forming a “Golden Cross”. The upward movement will be until the price is above the Cloud.

The MACD indicator is in a positive territory. The price is growing.

Trading recommendations

The pair can grow to the resistance level of 1.1350. After breaking 1.1350 the buyers may go to 1.1450.