4-hour Timeframe
Technical Data:
Head channel of linear regression: direction – side
Low channel of linear regression: direction – up
Moving average (20; smoothed): direction – down
CCI: -138.8983.
Commentary:
On September 2, the euro is trading below the low channel, but the both channels are not moving downward. Therefore, speculating on a fall is not recommended. A sideward movement of the head channel signalizes an upward reversal of a global downward trend. A downward movement of the low channel means a trend’s short-term upward movement. Currently, the price is trading below the moving and the Murray level of 5/8. Therefore, the price target is at the Murray level of 4/8 at 1.4160. In case the price reaches the target, its next target will be at the level of 3/8 at 1.4038. Please also note that the Heiken-Ashi indicator colored bars blue signifying a local downward movement. As the moving average is moving downward with the price trading below it, a downward movement is the most promising. Wait until one channel has turned downward and start trading. The CCI indicator is approximately at the -100 level indicating a slight overbought.
The Closest Support Levels:
S1 – 1.4160
S2 – 1.4038
S3 – 1.3916
The Closest Resistance Levels:
R1 – 1.4282
R2 – 1.4404
R3 – 1.4526
Trading Recommendations:
EUR/USD Forex market analysis reveals renewal of a downward movement. The current price target is the Murray level of 4/8 at 1.4160. However, speculating on a fall is not recommended. Speculate on a rise only after the price has fixed above the moving.
Besides technical data, please always take into account fundamental data and its release date.
The Chart Annotation:
Head channel of the linear regression – unidirectional blue lines.
Low channel of the linear regression – unidirectional purple lines.
CCI – a blue line in the indicator’s window.
Moving average (20; smoothed) – a blue line in the price chart.
Murray levels – multicolored horizontal lines.
Heiken-Ashi indicator – indicator coloring bars blue of purple.
