Analysis of transactions and trading tips on EUR/USD

No price tests occurred earlier in the day due to low volatility and lack of clear guidelines on how to proceed, especially after the Fed's mixed signals about its future plans. On one hand, it seemed like Powell hinted the end of the rate hike cycle. But on the other hand, some Fed representatives said they still see a quarter-point rate hike happening later this year.

In any case, there may be another sell-off in EUR/USD this afternoon, following a decrease in the number of US jobless claims. Data on existing home sales, as well as the Philadelphia Fed's manufacturing index may also impact the currency market.

For long positions:

Buy when euro hits 1.0668 (green line on the chart) and take profit at the price of 1.0727. Growth will occur after weak data on the US labor market and real estate market. However, when buying, ensure that the MACD line lies above zero or rises from it.

Euro can also be bought after two consecutive price tests of 1.0644, but the MACD line should be in the oversold area as only by that will the market reverse to 1.0668 and 1.0727.

For short positions:

Sell when euro reaches 1.0644 (red line on the chart) and take profit at the price of 1.0589. Pressure will increase in the event of bullish inactivity at the daily highs. However, when selling, make sure that the MACD line lies below zero or drops down from it.

Euro can also be sold after two consecutive price tests of 1.0668, but the MACD line should be in the overbought area as only by that will the market reverse to 1.0644 and 1.0589.

What's on the chart:

Thin green line - entry price at which you can buy EUR/USD

Thick green line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further growth above this level is unlikely.

Thin red line - entry price at which you can sell EUR/USD

Thick red line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further decline below this level is unlikely.

MACD line- it is important to be guided by overbought and oversold areas when entering the market

Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.

And remember that for successful trading, you need to have a clear trading plan. Spontaneous trading decision based on the current market situation is an inherently losing strategy for an intraday trader.