EUR/USD: plan for the European session on December 5. The demand for the US dollar returns ahead of the Fed decision

To open long positions on EURUSD you need:

Today, buyers of the euro can only rely on the formation of a false breakout in the support area of 1.1309, which will lead to an upward correction in the area of 1.1343 and 1.1374, where I recommend taking profits. In the event of a further decline in the euro, it is best to return to long positions on the rebound from the low of 1.1272. Today's speech by European Central Bank President Mario Draghi may put pressure on the European currency.

To open short positions on EURUSD you need:

The first support test of 1.1309 may lead to a slight rebound of the euro up by 15-20 points. However, on the second decline to this level, a breakdown will most likely be formed with an output of at least 1.1272, where I recommend taking profits. In the event of an upward correction in the first half of the day in the area of 1.1343, you can also see short positions in this range. If Mario Draghi's speech will be positive, it is best to open short positions on a rebound from the high of 1.1374.

Indicator signals:

Moving averages

Trading is already below the 30-day and 50-day moving averages, but the 30-day average is still above the 50-day moving average, which indicates the lateral nature of the market with a bearish advantage.

Bollinger Bands

In case the euro declines, support will be provided by the lower limit of the Bollinger Bands indicator around 1.1299. Upward correction will be limited by resistance in the middle of 1.1345.

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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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