2016-11-30 12:19:12

Review and dynamics
At the Asian session on Wednesday, the USD has grown against the pound, Euro and Yen.

At the early European session, the pair EUR/USD is rising amid increasing volatility. Nevertheless, despite upward correction in the market the USD is in the favorable position and the pair EUR/USD is unlikely to reach the weekly highs of 1.0685.

The pair EUR/USD remains in the descending channel on the weekly chart with the lower limit near the level of 1.0530; on the daily chart the lower limit is near the level of 1.0485 (Fibonacci 0% and the decline from the highs of 2014).

EUR/USD continues to remain under strong negative pressure caused by the large-scale rise in the USD in the currency market, weak macro-economic statistics of Eurozone and the difference in the monetary policies of the ECB and the Fed.

Our opinion
On the weekly and monthly charts the indicators OsMA and Stochastic give Sell signals; on the daily and 4-hour charts the indicators give signals for long positions, indicating that upward correction may continue.

If the price breaks out the level of 1.0710 the pair may go up to the resistance levels of 1.0795, 1.0840 (the lows of last month), 1.0900 (lows on the day after Brexit referendum. After consolidation of the price above the level of 1.0820 (ЕМА200 on 4-hour chart), the pair may go further up to the levels of 1.1070 (ЕМА200 on the daily chart, ЕМА50 and the upper line of the descending channels on the daily and weekly charts).

However, the pair EUR/USD is under strong pressure from fundamental factors (weak macro-economic statistics of Eurozone and difference in the monetary policies of the ECB and the Fed).

Therefore, short positions are preferable and the rise in the pair EUR/USD can be considered and the upward correction.

Support levels: 1.0630, 1.0600, 1.0580, 1.0530 and 1.0485.
Resistance levels: 1.0710, 1.0795, 1.0820, 1.0900, 1.0975 and 1.1070.

Trading tips
Sell on the market. Stop-Loss: 1.0710. Targets: 1.0630, 1.0600, 1.0580, 1.0530 and 1.0485.
Buy Stop: 1.0720. Stop-Loss: 1.0660. Targets: 1.0795, 1.0820, 1.0900, 1.0975 and 1.1070.

In the descending channel
In the descending channel

Resistance levels are 1.0820 and ЕМА200
Resistance levels are 1.0820 and ЕМА200