To open long positions on EURUSD, you need:
The euro managed to regain its leading position and after the formation of a false breakdown in the support area of 1.1005, which I drew attention to in my review, continued to grow. A break of 1.1033 provided the market with new buyers, but the main driver of growth was the successful negotiations on Brexit, as inflation in Germany did not greatly please traders. At the moment, the focus of the bulls is focused on the resistance of 1.1067, the breakthrough of which will provide EUR/USD with a new upward wave to the area of the maximum of 1.1109, where I recommend taking the profits. In the scenario of the pair’s decline in the second half of the day, it is best to return to the long positions on the rebound from the level of 1.1033.
To open short positions on EURUSD, you need:
Sellers will show themselves after the resistance update of 1.1067, but the main task for the second half of the day will be a return to the level of 1.1033, which they missed today in the European session. All the focus remains on the news on the negotiations between the US and China, which may increase the pressure on the euro. The decline under the support of 1.1033 can return to the market of new sellers of the euro, which will collapse the pair to the lows of 1.1005 and 1.0975, where I recommend fixing the profits. In a growth scenario above the resistance of 1.1067, it is best to sell EUR/USD by rebounding from a new high of 1.1109.
Trading is above the 30 and 50 moving averages, indicating a further bullish trend.
In the case of a decline in the euro, the indicator’s midline will support the area around 1.1015, and you can buy immediately for a rebound from the lower border in the area of 1.0990.
Description of indicators
- MA (moving average) 50 days – yellow
- MA (moving average) 30 days – green
- MACD: fast EMA 12, slow EMA 26, SMA 9
- Bollinger Bands 20