EUR/USD – 1H.
As seen on the hourly chart, a downward trend line remains, which continues to hold quotes of the euro-dollar pair within itself. Just in the last few hours, traders started trying to fix the upper line of this corridor, which will change the current mood to "bullish". However, it is not yet possible to say that the attempts are successful. Moreover, yesterday, the local low of the EUR/USD pair was updated, which led to an extension of the segment on which the Fibonacci grid is built. Also, the pair just slowed down its fall, so it can close over a corridor that does not have the function of changing the angle at which it is built. Thus, given the long fall in the pair's exchange rate, it is not difficult to assume some growth, but purchases are still counter-trend, which is quite dangerous. Therefore, I recommend buying the euro with very short stops, in order to limit possible losses as much as possible.
EUR/USD – 4H.
As seen on the 4-hour chart, the fall also continues and the pair's quotes have gone far below the trend downward corridor. However, yesterday, a bullish divergence was formed in the CCI indicator, which allows traders to expect a reversal in favor of the European currency and some growth. Thus, we have a certain signal to buy, which can be confirmed on the hourly chart if the pair goes beyond the descending corridor.
News overview:
The news calendar for the US and EU countries is empty on February 18.
Forecast for EUR/USD and recommendations for traders:
The new trading idea is to buy the euro with the targets of 1.0888 and 1.0927. I recommend waiting for the closing over the trend range on the hourly chart, then buy the euro. I recommend placing Stop Loss levels below the Fibo level of 0.0% (1.0823).
