To open long positions on EURUSD, you need:

Data on a sharp decline in consumer confidence in the eurozone and a slight increase in inflation in Germany failed to help euro buyers protect the level of 1.1054 in the first half of the day, although there were attempts. This can be seen on the 5-minute chart. After another test of this level, sellers achieved their goal and continued to put pressure on EUR/USD, blocking all Friday's growth. At the moment, the bulls need to return to the resistance of 1.1054, which will allow the pair to maintain an upward trend and lead to a repeated update of the maximum of 1.1145, where I recommend fixing the profits. In the scenario of a further decline in the pair, you can safely return to long positions on the support test of 1.0957, counting on a rebound of 40-50 points within the day, or buy EUR/USD from a larger minimum of 1.0880, the test of which will mean a break in the upward trend.

To open short positions on EURUSD, you need:

Sellers coped with the task of reducing the pair to the support of 1.1054 and fixing the pair below this level, which I discussed in detail in the morning forecast, which led to a larger sale of the euro. However, at the reached level, the bears are unlikely to stop and their next goal will be larger support of 1.0957, where I recommend fixing the profits. More persistent players will expect the euro to return to the minimum of 1.0880, the test of which will completely cancel out the entire bullish trend observed since March 20. In the scenario of an upward correction of the pair in the second half of the day, you can still return to sales after a false breakout in the resistance area of 1.1145, but I recommend opening new positions immediately for a rebound only in the area of 1.1231.

Signals of indicators:

Moving averages

Bears have already achieved a breakout of the 30 and 50 daily moving averages, but it is still very early to talk about a trend reversal since the moving averages have not crossed with each other.

Note: The period and prices of moving averages are considered by the author on the hourly chart H1 and differ from the general definition of the classic daily moving averages on the daily chart D1.

Bollinger Bands

In the case of an upward correction in the second half of the day, the upper limit of the indicator around 1.1150 will act as a resistance.

Description of indicators

• Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 50. The graph is marked in yellow.
• Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 30. The graph is marked in green.
• MACD indicator (Moving Average Convergence / Divergence - moving average convergence / divergence) Fast EMA period 12. Slow EMA period 26. SMA period 9
• Bollinger Bands (Bollinger Bands). Period 20