EUR/USD: general review for December 27, 2013

December 27, 2013

Current trend

Before Christmas holidays the pair traded in the range of 1.3663-1.3700; however today at the opening of European session the price managed to break down the upper limit of the channel. It seems that the pair faced resistance at the level of 1.3745, while support is expected at the level of 1.3700. Important economic releases are not scheduled for today; therefore strong movement in price is not expected.

In such situation it makes sense to take trading decision on the basis of technical indicators. On the four-hour chart indicators show uptrend. MACD histogram is in the positive zone, its volumes are increasing. Bollinger bands show divergence, confirming forecast of further rise in the pair; however the price has broken the Bollinger upper line, which can indicate a chance of downward correction.

Support and resistance

Resistance level is the local highs of 1.3745. Support levels are the limits of the channels: 1.3700 and 1.3663.

Trading tips

If current trend continues, it is advisable to open sell positions as part of corrective movement from resistance level of 1.3745 with the targets of 1.3700 and 1.3663.

Vadim Smarzh

Analyst of LiteForex Group of Companies

Publication source
LiteForex information  LiteForex reviews

February 17, 2017
Golds rally may falter
The gold price has racked up its 2nd straight day of gains today on the back of US dollar weakness and doubts over an interest rate hike next month from the US Federal Reserve...
February 16, 2017
Where is black gold heading?
The Euro is slowly going down and this is not brought on by the Eurozone situation. Instead, this is fueled by the U.S. Dollar. Yesterday, Janet Yellen gave a speech in the Senate Banking Committee emphasising the fact that it Is not quite right to use the wait-and-see stance regarding the interest rate hike...
February 14, 2017
Will France exit the euro?
The Euro has come under pressure late in the European session today, after analysts warned of the huge costs that France would face should they decide to ditch the European currency...

OANDA Rating
Orbex Rating
FX Giants Rating
 FXTM Rating
OctaFX Rating
NPBFX Rating

99Binary Rating
Banc De Binary Rating
Dragon Options Rating Rating
Binary Brokerz Rating
OptionFair Rating