Review and dynamics
In anticipation of the important decisions, activity in the financial markets has been decreasing since the beginning of European session. The pair EUR/USD went back up to the level of 1.1000 and is now at the lower limit of the ascending channel on the weekly chart, which is close to the level of 1.0970.
On the weekly chart the indicators OsMA and Stochastic suggest to open short positions, while the indicators on the monthly chart are giving signals to sell. The indicators on 4-hour and daily charts show probability of the upward correction. However, considering important news, which is expected today, technical analysis can have only a secondary influence.
Break down of the lower limit of the channel at the level of 1.0970 on the weekly chart can trigger further decline in the pair. In this case the nearest targets will be at the levels of 1.0915, 1.0865, 1.0800 and 1.0750.
On the weekly chart the lower limit of the ascending channel is crossing the level of 1.0970, while the upper limit of the channel is close to the level of 1.1785 (Fibonacci 38.2% to the last wave of decline from the highs of 2014, ЕМА144 on the weekly chart). Breakdown of the lower limit of the channel and the level of 1.0970 (lows of July) may trigger further decline in the pair EUR/USD. In this case, the nearest targets will be at the levels of 1.0915, 1.0865, 1.0800 and 1.0750.
Otherwise, the pair EUR/USD can go up to the levels of 1.1130 and 1.1175 (ЕМА200 on the daily chart).
Judging by the fundamental factors the pair is likely to decline.
Support levels: 1.0970, 1.0915, 1.0865, 1.0800 and 1.0750.
Resistance levels: 1.1025, 1.1100, 1.1130, 1.1175, 1.1200, 1.1285, 1.1300, 1.1400, 1.1430, 1.1485 and 1.1535.
Sell on the market. Stop-Loss: 1.1035. Targets: 1.0915, 1.0865, 1.0800 and 1.0750.
Buy Stop: 1.1040. Stop-Loss: 1.0980. Targets: 1.1100, 1.1130 and 1.1175.
At the lower line of the channel
At the level of 1.1000