EUR/USD: plan for the US session on May 16. The demand for US dollar returns

To open long positions on EURUSD, you need:

Another weak data on the eurozone economy led to a decline in the euro in the first half of the day. At the moment, only the formation of a false breakdown in the support area of 1.1183 will be a signal to open long positions in EUR/USD. Otherwise, buying the euro immediately to the rebound is best from a minimum of 1.1155. The main task of the bulls in the afternoon will be the return and consolidation above the resistance of 1.1215, which will open a direct road to the area of a weekly high of 1.1242, where I recommend fixing the profits.

To open short positions on EURUSD, you need:

Sellers managed to form a false breakdown in the resistance area of 1.1215, which led to a new wave of short positions in European currency. At the moment, the task of the bears is to breakdown and consolidate below the support of 1.1183, but the main goal remains at least 1.1155, where I recommend fixing the profits. In the case of the euro growth scenario in the second half of the day, it is best to open short positions to rebound from a maximum of 1.1242.

Indicator signals:

Moving Averages

Trading is below 30 and 50 moving averages, which indicates the preservation of the downward correction.

Bollinger Bands

In the case of euro growth in the second half of the day, it will limit the upward movement of the upper border of the indicator in the area of 1.1220.

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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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