To open long positions on EURUSD, you need:

Despite good retail sales in Germany, and a slower decline in the index of manufacturing activity in the eurozone, the pressure on the euro continues to increase, and the reason for this is the expected drop in global GDP amid the spread of coronavirus. The bears have already reached the support of 1.0932, but so far there is no major rebound from this level, as it was yesterday, which keeps the market on the side of sellers. A false breakdown of the area of 1.0932 has been formed, which can be seen on the 5-minute chart. However, there are no buyers in the market. Therefore, if you re-test the support of 1.0932, I recommend leaving the market and considering new long positions only after a decline to the more significant support levels of 1.0880 and 1.0790. If traders react with purchases to the fundamental reports on the state of the American economy, then the bulls may have problems in the resistance area of 1.1033, where I recommend fixing the profits. However, the impulse of this area will open the way to the highs of 1.1139 and 1.1231.

To open short positions on EURUSD, you need:

Sellers coped with the task of reducing the pair to the support of 1.0932 and the next important task of the bears will be to consolidate below this range, which will only increase pressure on the pair and lead to an update of the lows of 1.0880 and 1.0790. The support test of 1.0880 will be a turning point in the upward trend that has been observed since the 20th of March. In the scenario of EUR/USD growth in the second half of the day after weak reports on the US economy, it is best to consider short positions after updating the resistance of 1.1033, provided that a false breakout is formed there, or sell immediately on a rebound from a larger maximum of 1.139. However, you must understand that poor performance in the US can be a signal for traders to buy the dollar as an asset of refuge against the impending crisis that will lead to the decline of the pair EURUSD, and not the usual growth.

Signals of indicators:

Moving averages

Trading is below the 30 and 50 daily moving averages, which indicates a further decline in the euro in the short term.

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 in the area of 1.1075 will act as a resistance, from which you can open short positions immediately for a rebound.

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