EUR/USD-4H.
Good day, dear traders! As seen on the 4-hour chart, the EUR/USD currency pair completed the closing under the first target – the Fibo level of 23.6% (1.1035) – and continues the process of falling towards the second target – the corrective level of 0.0% (1.0993). I doubt that traders will be able to bring the pair to the level of 1.0993 today, so I expect a reversal in favor of the European currency and some growth in quotes. At the same time, most of the graphical patterns indicate that the pair is continuing to fall. For example, a downward trend corridor that remains appropriate, or both indicators, CCI and MACD, that are also falling. Thus, I recommend closing sales when approaching the level of 1.0993. Today, the information background can strongly influence the mood of traders. The already released report on retail sales in the European Union helped the euro currency to continue falling. Today, reports on business activity in the US service sector will be released, as well as an important report on the US labor market ADP. Strong data may lead to a confident fall to 1.0993, but weak data will lead to a reversal in favor of the EU currency.
Forecast for EUR/USD and trading recommendations:
The last trading idea is to sell the pair at the close under the Fibo level of 38.2% (1.1061) with goals of 1.1035 and 1.0993. The first of these goals is worked out, and the pair closed below it. Thus, there is still the second goal of 1.0993. I will consider closing quotes above the descending corridor as a signal to buy the euro currency.
