4h
The EUR / USD pair on the 4-hour chart reversed in favor of the EU currency and fixed above the correction level of 50.0% to 1.1680. As a result, the growth process can be continued in the direction of the next correctional level of 61.8% - 1.1721. On July 16, no new brewing divergences are observed in any indicator. The consolidation of quotations under the Fibo level of 50.0% can be interpreted as a reversal in favor of the European currency and expect a slight decline in the direction of the correction level of 38.2% - 1.1639.
The Fibo grid is built on the extremes of June 14, 2018, and June 21, 2018.
Daily
On the 24-hour chart, after the rebound from the Fibo level of 76.4% to 1.1789, the pair continues to fall towards the corrective level of 100.0% - 1.1553. Today there are no visible divergent in any indicator. The pair's exit from the correction level of 100.0% will allow expecting a turn in favor of the euro and some growth in the direction of the correctional level of 76.4%. Fixing the quotes below the Fibo level of 100.0% will increase the likelihood of a further decline in the direction of the next correction level of 127.2% - 1.1285.
The Fibo grid is built on extremes from November 7, 2017, and February 16, 2018.
Recommendations for traders:
Buy EUR / USD on July 16, with a target of 1,1721 with a Stop Loss level under the correction level of 50.0%, as there was a close above the Fibo level of 1.1680.
To sell the EUR / USD pair will be possible with the target of 1,1639 if the closing is done at the Fibo level of 50.0%, with a Stop Loss order above the correction level of 1.1680.
The material has been provided by InstaForex Company - www.instaforex.com