Because of the Economic and Political outlook I m a long term bear on EUR , hence i will look for opportunity to sell the pair.
Fundamentals that can affect the trade plan:
EUR: German Manufacturing PMI
GBP: Inflation Report
Market Direction and Price Direction are both Flat , the moving averages are flat , it could be due to the holidays in Canada and in the USA. STOCHASTIC: moving up, note the stochastic divergence indicated on the chart which point out the fact that fewer bulls enter the market. The pair has been on a downtrend since the beginning of the year ,which I believe is due to EUR weakness.However the pair should come back up to retest the trendline before continuing with it downtrend. RESISTANCE is eyed at MPP/Psych level 0.8650-0.8600. SUPPORT: #1 MM2/0.8500. #2 MS1/0.8400/200EMA
Market Direction:Flat. Price Direction: Bearish 5 ema below 8. STOCHASTIC :oversold Resistance:#1 WPP confluence DM2. #2. psych level 0.8550, which correspond to the level where 200 ema is sitting, WM3 is just above and forms part of the resistance area. SUPPORT: #1 WM2 /psych level 0.8500.and confluence DM1 #2 WS1 confluence DS2. since the stoch is overbought I believe the pair will back to psch level 0.8550 or DPP to form the right shoulder of the head and shoulder reversal pattern before continuing it way down. Target :WM2 ?psych level 0.8500
Market Direction:Bearish , 21 just crossed under the 55 and 200 ema. Price Direction:Flat Stochastic: moving up RESISTANCE: #1 DM2 confluence WPP. #2.DPP /psych level0.08550, note the pair broke through the upward trendline as indicated on the chart , I believe it will retest the trendline before continuing it way down. SUPPORT:#1 DM1/WM2/psych level 0.8500. #2 DS2 confluence WS1. Note: when the pair will reach DPP, I will enter on M5 at 5/8 cross or on a lower high.
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About The Forex Analyst
Degree in financial management. owner and founder of Senatla trading enterprise ,transport company