Last Friday, dynamics in EUR/USD was mixed and the pair EUR traded in the range of 100 points. The American dollar was under pressure after the release of the poor data on the orders for durable products in March. Therefore, Friday’s closing trades was favourable for the European currency. The pair EUR/USD rose by 50 points by the end of day on Friday. Important macro-economic news, which can affect dynamics of the pair EUR/USD, is not scheduled for the release today.
Support and resistance
On the four-hour chart technical indicators show that buyers will continue to be active therefore, upward movement will dominate. Bollinger bands are directed upwards indicating that uptrend will continue. MACD histogram is in the positive zone and its volumes are increasing.
Resistance levels: 1.0899, 1.0950 and 1.1000.
Support levels: 1.0850, 1.0810 and 1.0783.
Buy positions can be opened after consolidation of the price above the level of 1.0899 with the nearest target of 1.0950. Breakdown of this level will open the way to 1.1000. However, corrective downward movement is possible to the middle line of the indicator “Bollinger bands” at 1.0783. IN case of this scenario sell positions can be opened if the price breaks down support level of 1.0850. The target of such positions will be the levels of 1.0810 and 1.0783.