Hello, dear colleagues!

Following the results of trading on November 11-15, the euro/dollar currency pair demonstrated strengthening and finished trading above the iconic psychological and technical level of 1.1000.

Previously, it was assumed that this mark is quite capable of providing the pair with strong support and stopping the depreciation that started from 1.1180. And so it happened. We will discuss the main currency pair this week in this article by looking at the EUR/USD charts.

Weekly

After the week before last, there was a big black candle that closed below the Tenkan line of the Ichimoku indicator, the bears on the pair tried to continue the pressure and push the quote below the key level of 1.1000. What came of it is visible on the price chart. After leaving just below 1.1000 for the single European currency, there was demand, and as a result of purchases, the EUR/USD rate turned up. Last week's close above 1.1050, as well as the shape of the last candle with a long upper shadow, indicate that the market is "tired" of declining and may continue to move northward.

Well, the start of current trading so far confirms this opinion. At the time of writing, the euro/dollar is growing moderately. At the same time, the appearance of important news, changes in market sentiment, as well as technical factors can have an impact on the price dynamics of the instrument. In the meantime, given the technical nuances, I will outline the nearest goals in both directions.

The first target at the top is likely to be the Kijun line, which runs at 1.1145. If this value is passed, it is quite possible to expect another test for the breakdown of the key resistance of sellers in the area of 1.1180. Moreover, from my point of view, the breakdown has every chance of being successful. But let's not get ahead of ourselves.

The nearest target of the bears will be the lows of the last trading five-day period at 1.0989, the census of which will send the rate to a strong support area of 1.0940-1.0880.

In my personal opinion, the last bullish candle with a long lower shadow is more indicative of an upward trading scenario on November 18-22. Now, we move on to the next timeframe.

Daily

On the daily chart, the picture also looks in favor of continuing the rise started on November 14. Characteristically, the growth followed after the appearance on the eve of a small, but very characteristic for the reversals of the Doji candles.

Friday's close above the 50 simple moving average is another signal that the EUR/USD rate will continue to strengthen. Indeed, at today's trading, the pair is growing quite well and, at the time the review is completed, makes attempts to move up from the Ichimoku cloud, in which it would seem to have already established itself.

At the same time, I would like to note that going up from the cloud does not yet indicate a bullish scenario. In my opinion, this return will signal above another significant mark of 1.1080 breakdowns of the Kijun daily line (1.1084), as well as the 89-exponential moving average, which runs at 1.1089.

For trading ideas, I can offer the following options.

Despite the high probability of an upward turn, the current growth is still a correction to the previous decline, and the presence of strong resistance to easy walking at the top does not promise players to increase. If today's candle is formed in the form of a bearish reversal pattern and closes within the Ichimoku cloud, it will indicate the inability to bring the price out of the cloud up and will be a signal for sales. The second option provides for the upward movement of their clouds and rises to the area of 1.1079-1.1089, from where I expect a reversal and decline at least to the upper border of the cloud, which runs at 1.1064.

It is better to refrain from buying in the current situation for the reasons indicated above (correctional nature and the presence of strong resistances). Tomorrow, taking into account the results of today's trading, we will try to find more specific points of entry into the market and more clearly determine the positioning of the main currency pair.

Success!