EUR / USD: plan for the European session on October 29. US GDP data led to a fall in the US dollar

To open long positions on EUR / USD, you need:

Euro buyers managed to return a number of positions after a weak report on US GDP growth in the 3rd quarter of this year. At the moment, the main task of the bulls is a breakthrough and consolidation above the resistance level of 1.1405, which will lead to the continuation of the upward correction with the update of the highs around 1.1438 and 1.1474, where I recommend fixing the profits. In the event of a decline in the euro in the first half of the day, long positions can be seen on the rebound from the support level of 1.1367, where the lower limit of the new ascending channel can be formed. Otherwise, you can buy EUR / USD for a rebound from 1.1337.

To open short positions on EUR / USD, you need:

Sellers need to form a false breakdown at the resistance level of 1.1405 or keep the pair below the upper limit of the downward channel, which is slightly higher, which will lead to the formation of new pressure on the euro, with the update of support for 1.1367 and 1.1337, where I recommend fixing the profits. In the case of growth above the resistance of 1.1405 in the first half of the day, short positions can be returned to the rebound from the level of 1.1438.

Indicator signals:

Moving Averages

Trade has moved above the 30-day and 50-day average, which indicates the continuation of the formation of the upward correction in the euro.

Bollinger bands

The upper limit of the Bollinger Bands indicator in the 1.1430 area limits the upward potential. Open long positions in the event of a decline in the euro can be on the rebound from the lower boundary of the indicator, which is now located in the area of 1.1340.

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Description of indicators

  • MA (moving average) 50 days - yellow
  • MA (moving average) 30 days - green
  • MACD: fast EMA 12, slow EMA 26, SMA 9
  • Bollinger Bands 20
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