EUR/USD: plan for the US session on May 22. The euro remains in the channel before important elections

To open long positions on EURUSD, you need:

A small consolidation above the resistance of 1.1166 leaves hopes for buyers to return to the maximum of this week in the area of 1.1187, where I recommend fixing the profits, as it will be quite difficult to break higher. When the correction down in the afternoon and return to the support of 1.166, the same morning minimum of 1.1143 will serve as a support for buyers. Otherwise, it is better to open long positions on the rebound from the area of 1.112.

To open short positions on EURUSD, you need:

Bears need to return to the support of 1.11166, which will retain the downward potential and will lead to a further decline in EUR/USD to the support area of 1.143 and 1.112, where I recommend fixing the profits today. In the scenario of further growth of EUR/USD, the formation of a false breakdown in the resistance area of 1.1187 will be the first sell signal. Short positions can be opened immediately to rebound from a maximum of 1.1205.

Indicator signals:

Moving Averages

Trading is conducted in the area of 30 and 50 moving averages, which indicates a slowdown in the downward trend.

Bollinger Bands

The volatility of the indicator is low, which does not give signals to enter the market.

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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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