Analysis of transactions in the EUR / USD pair
A buy signal appeared in the market yesterday. However, it had to be ignored because the MACD line was at the overbought area. No other signal appeared for the rest of the day.
Trading recommendations for May 12
Pay attention to the upcoming macro statistics today as those will certainly affect investor sentiment. If the figures are much better than projected, then demand for the euro will continue to increase. Positive forecasts from the European Commission, as well as weak US CPI, may also push the market upwards.
For long positions:
Enter a long position when the quote reaches 1.2135 (green line on the chart), and then take profit around the level of 1.2214. Euro will trade higher if macro statistics for Germany and the whole Euro area comes out strong. But before buying, make sure that the MACD line is above zero, or is starting to rise from it.
For short positions:
Enter a short position when the quote reaches 1.2108 (red line on the chart), and then take profit at the level of 1.2033. Euro will turn down if macro statistics for the whole Euro area comes out weak, and if the US observes a sharp growth in inflation. But before selling, make sure that the MACD line is below zero, or is starting to move down from it.
What's on the chart:
The thin green line is the key level at which you can place long positions in the EUR / USD pair.
The thick green line is the target price, since the quote is unlikely to move above this level.
The thin red line is the level at which you can place short positions in the EUR / USD pair.
The thick red line is the target price, since the quote is unlikely to move below this level.
MACD line - when entering the market, it is important to be guided by the overbought and oversold zones.
Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.
And remember that for successful trading, you need to have a clear trading plan. Spontaneous trading decisions based on the current market situation is an inherently losing strategy for an intraday trader.
Analysis of transactions in the GBP / USD pair
Several buy signals appeared in the market yesterday. However, it did not lead to the expected growth, even though the MACD line was in a good area. Only a 20-pip increase was observed.
Trading recommendations for May 12
Pay attention to the upcoming UK data today as those will significantly affect investor sentiment. Strong figures will lead to a rally in pound, while weaker indicators will result in another decline in GBP / USD. Lower-than-expected US CPI will also push the market upwards.
For long positions:
Enter a long position when the quote reaches 1.4131 (green line on the chart), and then take profit at the level of 1.4232 (thicker green line on the chart). Pound will turn up if the UK releases very strong economic reports. But before buying, make sure that the MACD line is above zero, or is starting to rise from it.
For short positions:
Enter a short position when the quote reaches 1.4099 (red line on the chart), and then take profit at the level of 1.4006. Pound will trade downwards if the UK publishes a weak economic data, and if the US observes sharp growth in inflation. But before selling, make sure that the MACD line is below zero, or is starting to move down from it.
What's on the chart:
The thin green line is the key level at which you can place long positions in the GBP/USD pair.
The thick green line is the target price, since the quote is unlikely to move above this level.
The thin red line is the level at which you can place short positions in the GBP/USD pair.
The thick red line is the target price, since the quote is unlikely to move below this level.
MACD line - when entering the market, it is important to be guided by the overbought and oversold zones.
Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.
And remember that for successful trading, you need to have a clear trading plan. Spontaneous trading decisions based on the current market situation is an inherently losing strategy for an intraday trader.
