Weekly technical levels:
Intraday trading recommendations:
- EUR/USD: According to the previous events, the price has still been trapped between 1.3538 and 1.3476. The level of 1.3624 will indicate strong resistance; moreover, the price will form a new top at this level. Therefore, it will be wise to sell at 1.3624 (short term) with the first target at 1.3580, then it will continue towards 1.3511 in order to test the weekly pivot point.
Observations:
- If the trend is buoyant, then the strength of the currency will be defined as following: GBP is in uptrend and USD is in downtrend.
- Fibonacci retracement is used for determining accurate psychological levels of support and resistance. The period of time should be taken into account.
- Fibonacci is in a range trade; it looks like the trend is trapped moving up or down. If you sell or buy in the long-term period, you will surely lose your profit.
- Stop loss should never exceed your maximum exposure amounts.
- As a rule, the market is highly volatile if the previous day had a huge volatility.
