4-hour timeframe
Overview:
The buy signal is continuing. This signal is confirmed and strong as the price is above the Ishimoku cloud and the Chinkou Span is above the price chart. The signs that the upward movement is over are not observed. Alongside, the price managed to fixate above the pivot level of 1.5721, thus indicating new target 1.5940 – the first resistance level. The price did not fix above the resistance level. In case this level is broken through, the next target will be 1.6061 – the second resistance level. In case, the price is below the Kijun-Sen (1.5970) that will denote the weakening of the current signal and the point to reduce long positions. The Chinkou Span is above the price chart, which is a confirmation of the current buy signal. The Bollinger Bands show the upside movement, the lines are diverging and directed up, denoting the probable continuation of the uprising movement. The MACD is slightly ascending thus pointing to the current up movement.
Trading recommendations:
Currently, it is recommended to trade long with the target at 1.5940. Stop-loss is set below 1.5670. If the MACD reverses down, the long positions should cut manually.
In addition to technical image one should take into account the fundamental data and the time of their release.
The chart annotation:
Ishimoku indicator:
Tenkan-sen — red line
Kijun-Sen — blue line
Senkou Span A — light brown stipple line
Senkou Span B — light purple stipple line
Chinkou Span — green line
Bollinger Bands indicator:
3 yellow lines
MACD indicator:
The red line and the histogram with the white bars in the indicators window.
