To open long positions on EURUSD, you need:
In the morning forecast, I paid attention to the report on the growth of the German economy and the eurozone, which disappointed many traders. Germany did not show any growth in the 4th quarter, while the eurozone's GDP declined year-on-year. All this is a bad signal for the euro, which will remain under pressure in the medium term. As for the current moment, the bulls are still holding the pair at the lows of the week, but everything will depend on the report on the volume of retail trade in the United States. There are no people willing to buy the euro, so you need to act carefully, and only a false breakdown of the level of 1.0834 will be a signal to open long positions in the hope of returning to the maximum of 1.0867, a break of which will lead the pair to the levels of 1.0896 and 1.0922, where I recommend fixing the profits. In the scenario of a further fall in the euro, you can look at long positions for a rebound from the minimum of 1.0804 or even lower in the support area of 1.0773.
To open short positions on EURUSD, you need:
Sellers continue to push the euro and are marking the lows of the week. A breakdown of the support of 1.0834 will be a signal to open short positions, and the main goal of the bears will be the lows of 1.0804 and 1.0773, where I recommend fixing the profits. In the scenario of growth against the background of a weak report on retail sales, it is best to return to short positions on the correction from the maximum of 1.0867 or sell the euro immediately on the rebound in the area of 1.0896.
Signals of indicators:
Trading is conducted below the 30 and 50 moving averages, which indicates a further decline in the euro trend.
Volatility fell before important data, which does not give signals to enter the market.
Description of indicators
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
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