EUR/USD – 4H.
As seen on the 4-hour chart, the EUR/USD pair continues to fall and has completed a consolidation under the low level of 1.1040, which I named as the first target level. Thus, now traders can count on the continuation of the fall of the euro-dollar pair in the direction of the next low level - 1.0989, which is the last goal in the framework of the trading idea that I voiced a few days ago. After (and if) the level of 1.0989 is worked out, all trades on the trading idea can be closed. There are no pending divergences in any indicator today, so I don't expect the fall to end prematurely. The information background on Monday is extremely poor. No important news. On Friday, there was interesting news on business activity in Europe and America, but they did not affect the mood of traders, expressed by the direction of the downward trend corridor. Tomorrow, we are waiting for important news from the United States on the change in volumes for long-term use orders. A strong report can help overcome the last few dozen points of the euro-dollar pair to its target level.
Forecast for EUR/USD and trading recommendations:
The long-term trading idea remains valid. Traders still have a long-term target for a fall near the level of 1.0850 confirmed by a close below the trend line.
The short-term trading idea is to sell the pair with a target of 1.0989 since the trend on the 4-hour chart remains "bearish". Stop Loss levels can now be moved beyond the level of 1.1040.
