Published On: Thu, Mar 2nd, 2017

EUR/USD: general review

InstaForex

Current trend

Yesterday, a lot of macroeconomic data from US were published. They pointed at both positive and negative tendencies in USA economy. US dollar continues to grow during the last 24 hours. US currency strengthened due to President Trump’s speech to Congress. He promised to implement tax cut plan for both corporate clients and middle class and to increase social spendings which will be sponsored by the state and private sector. Besides, FOMC’s members were very consistent in stating that interest rate should be raised at the nearest regulator’s session in March.

Today, the market’s most influencing factor will be data on unemployment rate in USA, however, no matter what the amount of claims is, the pair will remain under pressure today.

Support and resistance

On the daily chart, the pair is attempting to break out the support level of 1.0520. The Bollinger Bands indicator is pointing downwards, and the price range remains unchanged, signaling about the consolidation of the downward trend. MACD histogram is in negative zone, keeping the sell signal. Stochastic is approaching the oversold zone. Indicators provide sell signals.

Support levels: 1.0520, 1.0479, 1.0433, 1.0408.

Resistance levels: 1.0574, 1.0618, 1.0658, 1.0676, 1.1233.

Trading tips

Short positions could be opened at current price with take-profits at 1.0465 and Stop Loss order at 1.0550. Implementation time: 1-2 days.

Long positions should become relevant at the level of 1.0555 with take-profits at 1.0590 and Stop Loss order at 1.0530. Implementation time: 1 day.

Forex Analysis

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