EUR/USD: Technical analysis 06.03.2018

 

Current trend

EUR/USD price has met the significant resistance around of the level 1.2359 (Murray [5/8]).

Technical indicators mostly keep a buy signal, but the downward correction is possible in the short term.

Bollinger Bands are directed up.

MACD is growing in the positive zone.

Stochastic’s lines are pointed sideways.

The upward trend will be restored after the price is set above the level of 1.2359. In this case, growth will continue to the area of 1.2390 (Murray [6/8]) – 1.2420 (Murray [7/8]).

If EUR/USD cannot consolidate above the level of 1.2359, the downward trend restoration and retest of the levels 1.2329 (Murray [4/8]), 1.2298 (Murray [3/8]) are possible.

A significant decrease is possible after the breakout of the level 1.2298 (middle line of Bollinger Bands), which can develop to the levels of 1.2268 (Murray [2/8]), 1.2237 (Murray [1/8]).

Support and resistance

Support levels: 1.2329, 1.2298, 1.2268.

Resistance levels: 1.2359, 1.2390, 1.2420.

Trading recommendations

Long positions can be opened above the level of 1.2359 with the targets at around 1.2390-1.2420 and stop loss 1.2340.

Short positions can be opened below the level of 1.2325 with the targets at around 1.2298-1.2268 and stop loss 1.2345.