Analysis of transactions and tips for trading EUR/USD
The test of 1.0573 took place when the MACD line just started to move downward from zero, leading to a signal to sell. However, a sharp price decrease did not occur, resulting in losses. As for buying after the price test of 1.0586, it led to the continuation of an upward correction, resulting in an increase of over 30 pips.
Risk appetite remained due to the empty macroeconomic calendar. However, the further direction of the pair may be negatively influenced by the upcoming data on Germany's leading consumer climate index, the business activity index in the manufacturing sector, the business activity index in the sector, and the composite PMI index for the eurozone. The speech of ECB President Christine Lagarde will also have certain consequences for the euro, but in this case, it could favor buyers, leading to further strengthening of the pair.
For long positions:
Buy when euro hits 1.0694 (green line on the chart) and take profit at the price of 1.0738. Growth will occur in continuation of the upward trend, but this will happen only amid solid statistics.
When buying, make sure that the MACD line lies above zero or rising from it. Euro can also be bought after two consecutive price tests of 1.0666, but the MACD line should be in the oversold area as only by that will the market reverse to 1.0694 and 1.0738.
For short positions:
Sell when euro reaches 1.0666 (red line on the chart) and take profit at the price of 1.0623. Pressure will increase in the case of weak buyer activity around the daily high and weak data on activity in the eurozone.
When selling, make sure that the MACD line lies under zero or drops down from it. Euro can also be sold after two consecutive price tests of 1.0694, but the MACD line should be in the overbought area as only by that will the market reverse to 1.0666 and 1.0623.
What's on the chart:
Thin green line - entry price at which you can buy EUR/USD
Thick green line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further growth above this level is unlikely.
Thin red line - entry price at which you can sell EUR/USD
Thick red line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further decline below this level is unlikely.
MACD line- it is important to be guided by overbought and oversold areas when entering the market
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 decision based on the current market situation is an inherently losing strategy for an intraday trader.
