EUR/USD: general analysis
14 August 2018, 15:26
| Scenario | |
|---|---|
| Timeframe | Weekly |
| Recommendation | SELL STOP |
| Entry Point | 1.1345 |
| Take Profit | 1.1230 |
| Stop Loss | 1.1400 |
| Key Levels | 1.1230, 1.1352, 1.1474, 1.1596, 1.1718 |
| Alternative scenario | |
|---|---|
| Recommendation | BUY STOP |
| Entry Point | 1.1480 |
| Take Profit | 1.1596 |
| Stop Loss | 1.1420 |
| Key Levels | 1.1230, 1.1352, 1.1474, 1.1596, 1.1718 |
Current trend
This week, the decline in the EUR/USD pair has slowed.
EUR is under the influence of opposite factors. It is supported by strong EU and German statistics. EU Q2 GDP growth exceeded forecasts and amounted to 0.4%, and in Germany, the indicator increased from 0.3 to 0.5%. According to the German Federal Statistical Office (Destatis), a significant increase in the German economy was due to an increase in domestic demand, government spending and investment in production. In general, the German economy successfully resists the threats of the trade war between the EU and the US, but EU is not: June industrial production fell by 0.7% against the market's expectations.
The instrument is under pressure of Turkish financial crisis, which could harm a number of large European banks, anti-Iran sanctions, and world trade tensions.
Support and resistance
On the daily chart, the price is at the level of 1.1352 (Murrey [5/8]). In case of a breakdown, the instrument may fall to the middle of the Murrey trade range in the area of 1.1230 ([4/8]). However, as the price broke the lower Bollinger band and Stochastic is trying to reverse in the oversold zone, a downward correction is possible. In case of breakout up to 1.1474 (Murrey [6/8]), the price may rise to the level of 1.1596 (Murrey [7/8], the middle Bollinger band line).
Resistance levels: 1.1474, 1.1596, 1.1718.
Support levels: 1.1352, 1.1230.
Trading tips
Short positions can be opened after the price is set below the level of 1.1352 with the target at 1.1230 and the stop loss around 1.1400.
Long positions can be opened after the price is set above the level of 1.1474 with the target at 1.1596 and stop loss 1.1420.
This week, the decline in the EUR/USD pair has slowed.
EUR is under the influence of opposite factors. It is supported by strong EU and German statistics. EU Q2 GDP growth exceeded forecasts and amounted to 0.4%, and in Germany, the indicator increased from 0.3 to 0.5%. According to the German Federal Statistical Office (Destatis), a significant increase in the German economy was due to an increase in domestic demand, government spending and investment in production. In general, the German economy successfully resists the threats of the trade war between the EU and the US, but EU is not: June industrial production fell by 0.7% against the market's expectations.
The instrument is under pressure of Turkish financial crisis, which could harm a number of large European banks, anti-Iran sanctions, and world trade tensions.
Support and resistance
On the daily chart, the price is at the level of 1.1352 (Murrey [5/8]). In case of a breakdown, the instrument may fall to the middle of the Murrey trade range in the area of 1.1230 ([4/8]). However, as the price broke the lower Bollinger band and Stochastic is trying to reverse in the oversold zone, a downward correction is possible. In case of breakout up to 1.1474 (Murrey [6/8]), the price may rise to the level of 1.1596 (Murrey [7/8], the middle Bollinger band line).
Resistance levels: 1.1474, 1.1596, 1.1718.
Support levels: 1.1352, 1.1230.
Trading tips
Short positions can be opened after the price is set below the level of 1.1352 with the target at 1.1230 and the stop loss around 1.1400.
Long positions can be opened after the price is set above the level of 1.1474 with the target at 1.1596 and stop loss 1.1420.
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