To open long positions on EURUSD, you need:
The euro continues to fall, ignoring the support level of 1.096. However, as noted in the morning review, all will be decided by the data on the American labor market, which can complete the cycle of ten-year growth. The bulls have only one hope for indicators that will be worse than economists' forecasts or coincide with them. Only in this scenario, you can expect a return of EUR/USD to the resistance area of 1.096 and a larger upward correction to the maximum of 1.1130, where I recommend fixing the profit. If the report is better than expected, it is best to look for new long positions only after the formation of a false breakout in the area of the minimum of 1.1069 or buy immediately on the rebound from the support of 1.1041.
To open short positions on EURUSD you need:
Sellers continued to control the market and coped with the morning task, which was to break and consolidate below the support of 1.096, which only increased the pressure on the EUR/USD. The bears' new target is the lows of 1.1069 and 1.1041, which will be tested only after a good report on the US labor market. That's where I recommend taking profits. In the case of bad indicators, the bulls will be able to regain the resistance of 1.1096. Only in this scenario, it is best to consider short positions only after the formation of a false breakout around the level of 1.1130 or sell EUR/USD immediately on a rebound from the highs of 1.166 and 1.1205.
Indicator signals:
Moving Averages
Trading continues below the 30 and 50 moving averages, indicating continued pressure.
Bollinger Bands
Sellers have broken through the lower border of the indicator, which indicates that their advantages remain. In the case of an upward correction of the euro, the upper level of the indicator 1.1115 will act as an intermediate resistance.
Description of indicators
- Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 50. The graph is marked in yellow.
- Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 30. The graph is marked in green.
- MACD indicator (Moving Average Convergence / Divergence - Convergence / Divergence moving average) Fast EMA Period 12. Slow EMA Period 26. SMA Period 9
- Bollinger Bands (Bollinger Bands). Period 20
