GBP/USD Intraday High and Low Projection For August 24, 2020

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Today the High Of The Day and Low Of The Day from the Central Bank Dealer Range (CBDR) are usually formed at STDV 2-STDV 4 under normal market conditions, but sometimes they can reach the STDV 5-STDV 6 in case of higher volatility in the market. Here are the levels for today:

STDV 10 - 1.3260.

STDV 9 - 1.3244.

STDV 8 - 1.3228.

STDV 7 - 1.3212.

STDV 6 - 1.3196.

STDV 5 - 1.3180.

STDV 4 - 1.3164.

STDV 3 - 1.3148.

STDV 2 - 1.3132.

STDV 1 - 1.3116.

CBDR - 1.3100.

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CBDR - 1.3084.

STDV 1 - 1.3068.

STDV 2 - 1.3052.

STDV 3 - 1.3036.

STDV 4 - 1.3020.

STDV 5 - 1.3004.

STDV 6 - 1.2988.

STDV 7 - 1.2972.

STDV 8 - 1.2956.

STDV 9 - 1.2940.

STDV 10 - 1.2924.

Pay attention to the level of confluence between today's & yesterday range at 1.3212, 1.3132, 1.3052 & the previous Day High 1.3254 with the Previous Day Low 1.3058. All these levels can be a potential turning point level.

(Disclaimer)

The material has been provided by InstaForex Company - www.instaforex.com

EUR/USD Intraday High and Low Projection For August 24, 2020

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Today the Intraday High and Low for the Asian session are usually formed at STDV 2-STDV 4 under normal market conditions. However, sometimes they can reach the STDV 5-STDV 6 in case of higher volatility in the market. Here are the levels for today:

STDV 10 - 1.2005.

STDV 9 - 1.1985.

STDV 8 - 1.1965.

STDV 7 - 1.1945.

STDV 6 - 1.1925.

STDV 5 - 1.1905.

STDV 4 - 1.1885.

STDV 3 - 1.1865.

STDV 2 - 1.1845.

STDV 1 - 1.1825.

ASIA - 1.1805.

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ASIA - 1.1785.

STDV 1 - 1.1765.

STDV 2 - 1.1745.

STDV 3 - 1.1725.

STDV 4 - 1.1705.

STDV 5 - 1.1685.

STDV 6 - 1.1665.

STDV 7 - 1.1645.

STDV 8 - 1.1625.

STDV 9 - 1.1605.

STDV 10 - 1.1585.

Pay attention to the levels of confluence between previous Day High 1.1883 with the Previous Day Low 1.1754. All these levels can be a potential turning point level.

(Disclaimer)

The material has been provided by InstaForex Company - www.instaforex.com

Kiyosaki: US Treasuries and pensions are not safe investments

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Best-selling author Robert Kiyosaki said that too many have fallen into the trap of investing in US Treasuries and pensions, falsely believing that these assets are safe investments.

According to him, these assets are "counterfeit money", and he described in detail how investors can distinguish between "real" and "fake" assets in his book "FAKE: Fake Assets, Fake Money, Fake Teachers. About how lies make the poor and the middle class."

"My generation's problem is in their thinking. They think the US Treasury is safe," Kiyosaki said. "In fact, Treasury bonds are how the Fed and Treasury manipulate the markets and wipe out savers," he added.

Kiyosaki deems that "the problem with owning state-backed assets is that the governments of many countries cannot be trusted."

Thus, instead of Treasury bonds, Kiyosaki referred precious metals as "real" assets.

"As an entrepreneur, I invest my money in gold, silver and bitcoin because I want to be outside the system," he said.

However, the precious metals market grew exponentially over the past few months, and analysts say that investors need to get used to a higher volatility in gold and silver.

There will be some nuances, but this new stage of market development should not come as a surprise.

Gold is the second most liquid in the financial markets after tech stocks, and, according to a recent survey, many believe that gold is overbought, with which Billionaire investor Mark Mobius, founder of Mobius Capital Partners, also made headlines this week, claiming that gold is overvalued.

"I would not advise buying gold or precious metals at this time until there is a price correction," he said in a statement to UK Financial News.

Meanwhile, chief investment strategist at BMO Capital Markets Brian Belsky said that he is neutral about gold and silver, as the markets are fundamentally overwhelmed at the moment.

There are real reasons why gold has gone through historic moves when it hit record highs. The reality is that real interest rates will remain low to negative for the foreseeable future, as governments are taking on huge debts to stabilize the global economy. According to many analysts, this will lead to global currency depreciation.

Hence, in a world where there is no profitability and the purchasing power of consumers is declining, gold shines as a historical store of value. And analysts believe that this is just the beginning.

The material has been provided by InstaForex Company - www.instaforex.com

Analysis and trading recommendations for the EUR/USD and GBP/USD pairs on August 24

Trading recommendations for EUR / USD on August 24.

Analysis of transactions

Very weak data on Eurozone PMI led to a sharp drop in euro rate. It made traders resort to selling the EUR / USD pair, thereby decreasing its price in the market. The profit realized on such a move was more than 50 points.

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No important data is scheduled to be released today, so the market may remain within the current range all day. A slight increase in the euro could occur, but you need to understand that the market is on the side of the bears, so any rise in the pair will be perceived as a more convenient entry into sell transactions.

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  • Buy positions when the quote reaches a price level of 1.1816 (green line on the chart), targeting a rise towards the level of 1.1880. Take profit at the level of 1.1880.
  • Sell positions when the quote reaches the value of 1.1754 (red line on the chart), aiming a drop towards the price level of 1.1710. Target profit is the level of 1.1710.

Trading recommendations for GBP / USD on August 24.

Analysis of transactions

Sell transactions from the level of 1.3218 enabled the GBP / USD pair to reach a price level of 1.3133, thereby bringing about 90 points of profit. Surprisingly, data on the UK services sector did not drive the pound up as it does in normal times, as apparently, the coronavirus remains the main deterrent to the lack of response to good news.

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No important data is scheduled to be published today so the market may remain within the current range all day. However, the bulls will most likely try to raise the price of the GBP/USD pair again.

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  • Buy positions when the quote reaches the level of 1.3116 (green line on the chart), aiming for a rise towards a price level of 1.3197 (thicker green line on the chart). Take profit around the level of 1.3197.
  • Sell positions after the quote hits a price level of 1.3055 (red line on the chart), as a breakout of which will lead to a larger downward correction in the pound. Target profit will be the level of 1.2983.
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Indicator analysis. Daily review on GBP / USD for August 24, 2020

Trend analysis (Fig. 1).

The market may begin to move upward from the level of 1.3090 (closing of the Friday's daily candle) with the target of 1.3160 - a 161.8% target level (blue dotted line). When this level is broken, the upward trend will continue with the next target at the upper fractal 1.3267 (red dotted line).

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Figure: 1 (daily chart).

Comprehensive analysis:

- Indicator analysis - up;

- Fibonacci levels - up;

- Volumes - up;

- Candlestick analysis - up;

- Trend analysis - up;

- Bollinger lines - up;

- Weekly chart - up.

General conclusion:

Today, the price may move upwards with the target of 1.3160 - a 161.8% target level (blue dashed line). When this level is broken, the upward trend may continue with the next target at the upper fractal 1.3267 (red dotted line).

Another possible scenario is a downward trend from the level of 1.3090 (closing of the Friday's daily candle) with the target at the support level of 1.2989 (black bold line). In case of testing this line, an upward rollback is possible.

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Indicator analysis. Daily review on EUR / USD for August 24, 2020

Trend analysis (Fig. 1).

The market may continue to move downward from the level of 1.1797 (closing of the Friday's daily candle) with the target at the support level of 1.1699 (black thick line). If this line is reached, the upward movement may continue with the next target at the upper fractal 1.1967 (red dotted line).

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Figure: 1 (daily chart).

Comprehensive analysis:

- Indicator analysis - down;

- Fibonacci levels - down;

- Volumes - down;

- Candlestick analysis - up;

- Trend analysis - up;

- Bollinger lines - up;

- Weekly chart - down.

General conclusion:

Today the price may move downward with the target at the support levvel of 1.1699 (black bold line). If this line is reached, the upward movement may continue with the next target at the upper fractal 1.1967 (red dashed line).

Another posisble scenario is a downward trend towards the 21 average EMA - 1.1766 (black thin line). From here, the price may begin to move upward with the target at the nearest upper fractal 1.1884.

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GBP/USD: plan for the European session on August 24 (analyzing yesterday's trades). Confrontation of major players continues.

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

Even strong UK PMI data did not keep the pound from falling against the US dollar. After the first sell signal formed last Friday, which I paid attention to in my review, the pound continued to decline at a fairly rapid pace. On the 5 minute chart, you can see four entry points to the market : two for short positions and two for a rebound in long positions, based on corrections immediately from the levels at their first test. We are talking about the 1.3135 and 1.3084 ranges. Now the pound is locked in a fairly wide side channel. Given the fact that fundamental data will not be released today, we can expect that the pair will remain in the 1.3063-1.3128 channel. However, the main task of the bulls for today is to protect the 1.3063 range, since a lot depends on it. A false breakout there in the morning will be a signal to open long positions in anticipation of a breakout and also settling above the resistance of 1.3128. However, I recommend adding to purchases only after a top-down strength test of the 1.3128 level, which can lead to a repeated growth of GBP/USD already in the area of highs 1.3170 and 1.3218, where I recommend taking profits. In case the pair falls under the support of 1.3063, it is best to open long positions only after updating the low of 1.3007, or buy GBP/USD immediately on the rebound from the major support of 1.2916 based on a correction of 30-40 points within the day.

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

The most optimal scenario for opening short positions today is forming a false breakout in the resistance area of 1.3128, where the moving averages also pass. It will be possible to sell the pound and wait for a breakout and consolidation below the support of 1.3063 only in this case, on which a lot depends. A break of 1.3063 will lead to a break in the upward trend and will also form a larger bearish momentum in anticipation of a decline to the 1.3007 level. A low of 1.2916 will be the long-term goal, where I recommend taking profits. In case the pair is not under pressure around the high of 1.3128, it is best to abandon short positions before updating the levels of 1.3170 and 1.3218 and open short positions from there immediately on the rebound based on a correction of 20-30 points within the day.

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Indicator signals:

Moving averages

Trading is carried out below 30 and 50 moving averages, which speaks of the advantage of sellers of the pound.

Note: The period and prices of moving averages are considered by the author on the H1 hourly chart and differs from the general definition of the classic daily moving averages on the daily D1 chart.

Bollinger Bands

A breakout of the lower border of the indicator around 1.3063 will increase the pressure on the pound. Growth will be limited by the upper level of the indicator in the area of 1.3128.

Description of indicators

  • Moving average (moving average, determines the current trend by smoothing out volatility and noise). Period 50. It is marked in yellow on the chart.
  • Moving average (moving average, determines the current trend by smoothing out volatility and noise). Period 30. It is marked in green on the chart.
  • The MACD indicator (Moving Average Convergence/Divergence — convergence/divergence of moving averages) Fast EMA period 12. Slow EMA period to 26. SMA period 9
  • Bollinger Bands (Bollinger Bands). Period 20
  • Non-commercial traders are speculators, such as individual traders, hedge funds, and large institutions that use the futures market for speculative purposes and meet certain requirements.
  • Long non-commercial positions represent the total long open position of non-commercial traders.
  • Short non-commercial positions represent the total short open position of non-commercial traders.
  • The total non-commercial net position is the difference between short and long positions of non-commercial traders.
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EUR/USD: plan for the European session on August 24 (analyzing yesterday's trades). We are waiting for a response from euro

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

Several market entry signals were formed last Friday afternoon. After the release of the simply awful data on the eurozone PMI, the euro fell below the 1.1830 level. If you look at the 5-minute chart, you will see that after settling under the area below 1.1830, a sell signal formed for the euro, which led to an instant sale in the 1.1784 area, where I recommended opening long positions immediately on the rebound, which happened. On the first test of 1.1784 support, the pair sharply moved up by 20 points. Trade is currently conducted in a side channel, and given that the economic calendar is empty today, it is unlikely that anything will change. Bulls will try to regain the resistance of 1.1815, settling above it will form a signal to buy the euro in the hope of returning to Friday's high in the 1.1884 area, where I recommend taking profits. Protecting the 1.1765 support will also be an important task. After updating the previous week's low, a divergence could form on the MACD indicator, which will be an additional signal to open long positions. Buy EUR/USD immediately on the rebound, I recommend doing so only from the larger area of 1.1714 based on a correction of 25-30 points within the day.

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

Sellers will try to break below the 1.1765 support, but it is not safe to open short positions under this level. It is best to wait for the pair to settle under this range and sell in the expectation of a further downward correction to the area of 1.1714 and 1.1648, where I recommend taking the profit. It will also be necessary to exclude divergence, which I mentioned earlier. A more optimal scenario for selling EUR/USD will be an upward correction and a false breakout in the resistance area of 1.1815, where there are also moving averages that play on the sellers' side. I recommend opening short positions immediately for a rebound from the larger high of 1.1884, based on a correction of 20-30 points within the day.

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Indicator signals:

Moving averages

Trading is carried out below 30 and 50 moving averages, which indicates a high probability of continuing the downward correction.

Note: The period and prices of moving averages are considered by the author on the H1 hourly chart and differs from the general definition of the classic daily moving averages on the daily D1 chart.

Bollinger Bands

A breakout of the lower border of the indicator around 1.1765 will increase pressure on the euro. A breakout of the upper border of the indicator in the area of 1.1815 will lead to an upward correction.

Description of indicators

  • Moving average (moving average, determines the current trend by smoothing out volatility and noise). Period 50. It is marked in yellow on the chart.
  • Moving average (moving average, determines the current trend by smoothing out volatility and noise). Period 30. It is marked in green on the chart.
  • The MACD indicator (Moving Average Convergence/Divergence — convergence/divergence of moving averages) Fast EMA period 12. Slow EMA period to 26. SMA period 9
  • Bollinger Bands (Bollinger Bands). Period 20
  • Non-commercial traders are speculators, such as individual traders, hedge funds, and large institutions that use the futures market for speculative purposes and meet certain requirements.
  • Long non-commercial positions represent the total long open position of non-commercial traders.
  • Short non-commercial positions represent the total short open position of non-commercial traders.
  • The total non-commercial net position is the difference between short and long positions of non-commercial traders.
The material has been provided by InstaForex Company - www.instaforex.com

Technical Analysis of EUR/USD for August 24, 2020

Technical Market Outlook:

The EUR/USD pair dropped below 61% Fibonacci retracement level again and made a new local low at the level of 1.1754. The market is still in a horizontal trading range, so the bulls still have a chance to bounce higher. The next target for them is seen at the level of 1.1822 and 1.1882. In order to make a new high, the bulls will have to break through the short-term trend line resistance seen at the level of 1.1900. The immediate technical support is located at the level of 1.1720 and 1.1710. The larger time frame trend remains up.

Weekly Pivot Points:

WR3 - 1.2107

WR2 - 1.2031

WR1 - 1.1883

Weekly Pivot - 1.1825

WS1 - 1.1682

WS2 - 1.1616

WS3 - 1.1470

Trading Recommendations:

On the EUR/USD pair the main trend is up, which can be confirmed by 8 weekly up candles on the weekly time frame chart and 3 monthly up candles on the monthly time frame chart. This means any corrections should be used to buy the dips. The key long-term technical support is seen at the level of 1.1445. The key long-term technical resistance is seen at the level of 1.2555.

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Technical Analysis of GBP/USD for August 24, 2020

Technical Market Outlook:

The GBP/USD pair has been trying to break through the level of 1.3283 again, but failed to rally after another reversed V-shape wave was made on H4 time frame chart. The zone between the levels of 1.3253 - 1.3077 is now a clear battle zone between bulls and bears, so the winner will determine the next move of GBP. If the weekly high is violated, then the next target is seen at the level of 1.3283, but the long-term target for bulls is still located at 1.3518. The immediate technical support is seen at the level of 1.3077 and 1.3017.

Weekly Pivot Points:

WR3 - 1.3388

WR2 - 1.3323

WR1 - 1.3185

Weekly Pivot - 1.3117

WS1 - 1.2973

WS2 - 1.2907

WS3 - 1.2796

Trading Recommendations:

On the GBP/USD pair the main, multi-year trend is down, which can be confirmed by the down candles on the monthly time frame chart. Nevertheless, the recent rally form the multi-year lows seen at the level of 1.1404 has been successful and the trend might be reversing. The key long-term technical resistance is seen at the level of 1.3518. Only if one of these levels is clearly violated, the main trend might reverse (1.3518) or accelerate towards the key long-term technical support is seen at the level of 1.1404.

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Technical Analysis of ETH/USD for August 24, 2020

Crypto Industry News:

The American IRS has released its draft income tax forms for 2020 where every American claiming income for the year will reply whether they used cryptocurrencies or not.

At the top of the front page, the latest Form 1040 asks, "Have you ever received, sold, shipped, exchanged or otherwise obtained any financial interest in any virtual currency in 2020?"

Chandan Lodha, founder of cryptographic software company Cointracker, said:

"The issue of cryptocurrencies is now at the forefront of IRS 1040 form for next year. It quite clearly shows that the IRS takes cryptocurrency taxes even more seriously" - we can read in one of his last tweets.

Technical Market Outlook:

The ETH/USD pair has felt from the level of $447.26 to $379.59 on the weekend, but this drop is still being considered as corrective, so the up trend remains intact. Currently, the market is testing the short-term trend line resistance locates close to the level of $392 and if the bulls will break through this level, then the Ethereum will be in full recovery mode. The nearest target is seen at the level of $407.03 - $414.11. The momentum is slowly increasing as the market bounces from the oversold conditions as well. All the bigger time frame charts looks very bullish and the up trend should be continued after the correction is completed.

Weekly Pivot Points:

WR3 - $491.79

WR2 - $470.70

WR1 - $424.12

Weekly Pivot - $402.20

WS1 - $357.21

WS2 - $333.72

WS3 - $286.54

Trading Recommendations:

The weekly and monthly time frame trend on the ETH/USD pair remains up and there are no signs of trend reversal, so buy orders are preferred in the mid-term. All the dynamic corrections are still being used to buy the dips. The next mid-term target for bulls is seen at the level of $500. The key mid-term technical support is seen at the level of $364.95.

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Technical Analysis of BTC/USD for August 24, 2020

Crypto Industry News:

Sergio Dermain Lerner, a researcher known for analyzing the mining yields of the first Bitcoin (BTC) miner, turned his attention once again to the Bitcoin blocks mined by Satoshi Nakamoto. His research is based on the analysis of the nonce block nonce irregular pattern of the least significant bit (LSB).

In June last year, Lerner published a blog where he expanded and continued his original 2013 research. He suggested that for some unknown reason Satoshi Nakamoto was holding back from mining in the first five minutes of the inter-block break. Other researchers also developed Lerner's research. TechMiX has shown that all the blocks mined by Satoshi can be grouped into five buckets, based on the frequency distribution of the nonce LSB values.

With each subsequent attempt to solve the "mining puzzle," nonce increases. Apparently, Satoshi's gear was not making use of all the available nonce space, focusing only on the limited range. Lerner's latest research indicates that Satoshi, instead of enlarging - decreased the value of nonce:

"It turned out that re-mining Satoshi Nakamoto blocks reveals a strong tendency in the Patoshi algorithm to select higher nonce values when scanning an internal nonce number. This trend suggests that the number of nonce has been reduced, which is the opposite of what client does in version 0.1. "

This leads to an even more interesting conclusion that perhaps ends the discussion of the type of equipment Satoshi Nakamoto used:

"Since the nonce imbalance decreases when analyzing the two sub-ranges together, this suggests that Patoshi scanned 5 sub-ranges in parallel, but each sub-range internally - sequentially. This contradicts the theory that Patoshi deployed the first mining farm of 50 independent computers [...] and supports the theory that Patoshi simply ran multiple threads on a high-end CPU. "

If Lerner's conclusions are correct, it would give credence to the hypothesis that Satoshi Nakamoto was one person and not a group of people. It would also mark another nail in Craig Wright's claim that he would be the creator of the cryptocurrency. Wright has repeatedly pointed out that dozens of computers are to be used to mine early blocks

Technical Market Outlook:

The BTC/USD pair has bounced from the level of $11,358 and broke through the short term trend line resistance around the level of $11,450. Despite the fact, that the BTC is clearly trying to bounce higher, the market is still trading below the supply zone located between the levels of $12,269 - $12,431. The nearest technical resistance is seen at the level of $11,646 (for intraday traders) and the level of $11,358 will act as a support from now. The key short-term technical support is seen at the level of $11,062.

Weekly Pivot Points:

WR3 - $13,245

WR2 - $12,828

WR1 - $12,122

Weekly Pivot - $11,728

WS1 - $11,022

WS2 - $10,628

WS3 - $9,978

Trading Recommendations:

The weekly trend on the BTC/USD pair remains up and there are no signs of trend reversal, so buy orders are preferred in the mid-term. All the dynamic correction are still being used to buy the dips. The next mid-term target for bulls is seen at the level of $13,712. The key mid-term technical support is seen at the level of $10,463.

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Analytics and trading signals for beginners. How to trade the EUR/USD currency pair on August 24? Plan for opening and closing

Hourly chart of the EUR/USD pair.

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The EUR/USD currency pair showed a very convincing fall during the last trading day of the past week. Thus, it is not surprising that at the end of Friday and at night trading on Monday, we observed some kind of correction. "Some kind of similarity", because the correction was very weak, and in the last 2-3 hours, the pair shows a strong desire to resume the fall of quotes. If the downward turn is smooth, the MACD indicator will have time to react to it. We have repeatedly noted that the closer to the zero mark the MACD reversal occurs, the more accurate the signal. Also at the disposal of novice traders now has a downward trend line, which recommends trading at this time only for a decrease. Thus, in the current situation, traders are recommended to wait for a new signal to sell in any case. Or fixing the price above the trend line, which will change the trend to an upward one.

No macroeconomic reports are scheduled for August 24 in the European Union and the United States. Thus, novice traders today will have to trade without taking into account reports. On Mondays, it often happens that the activity of market participants falls, and there is very little news. Thus, today you can only track general topics, such as speeches by Donald Trump, negotiations between Democrats and Republicans on a new package of financial support for the US economy, speeches by Steven Mnuchin (US Treasury Secretary) or Jerome Powell (Fed Chairman), news on the escalation of the conflict between Beijing and America. In principle, traders can trade relatively calmly until Wednesday, when a report on orders for durable goods will be released in America, but even this is unlikely to have a strong impact on the movement of the euro/dollar pair. In fact, everything now comes down to the ability or inability of the markets to hold the pair through the 1.1700 level. If you look at a longer-term timeframe, it becomes clear that the price has bounced from this level on top several times. It also acted for a while as the lower border of the side channel. Therefore, traders can count on a fall to this level, but whether the US currency will continue to grow below this level is a big question. The US dollar still does not have enough support from the fundamental background. In America, there is simply nothing optimistic that could cause traders to want to buy the dollar. The coronavirus pandemic has receded slightly, but fewer than 40,000 new cases a day are still not recorded.

On August 24, the following scenarios are possible:

1) Buying a pair at this time is not recommended to consider. Even if the upward trend resumes from the current positions (which is unlikely), signals are needed for new purchases of the euro currency. Technical factors now speak in favor of continuing the growth of the dollar. Thus, to consider the pair's purchases, you need to wait for the formation of a new upward trend, building trend formations and patterns.

2) But we recommend considering sales at this time. At the moment, a correction is taking place, so you need to wait for it to complete and the MACD indicator to turn down. After that, you can open new short positions with the goals of 1.1740 and 1.1700. On Monday, the pair's volatility may be quite low. Therefore, novice traders are recommended to closely monitor the movement of the pair during the day.

What's on the chart:

Price levels of support and resistance – levels that are targets when opening purchases or sales. You can place Take Profit levels near them.

Red lines – channels or trend lines that display the current trend and indicate which direction it is preferable to trade now.

Up/down arrows – show when you reach or overcome which obstacles you should trade up or down.

MACD indicator (10,20,3) – a histogram and a signal line, the intersection of which is a signal to enter the market. It is recommended to use it in combination with trend lines (channels, trend lines).

Important speeches and reports (always contained in the news calendar) can greatly influence the movement of the currency pair. Therefore, during their exit, it is recommended to trade as carefully as possible or exit the market in order to avoid a sharp reversal of the price against the previous movement.

Beginners in the Forex market should remember that every trade cannot be profitable. The development of a clear strategy and money management are the key to success in trading over a long period of time.

The material has been provided by InstaForex Company - www.instaforex.com

Control zones for AUDUSD on 08/24/20

Last week's close was below the WCZ 1/2 0.7178-0.7178, indicating a change in priority. Sales come to the fore. Growth should be used to search for a sell pattern. The main resistance will be the WCZ 1/2 0.7236-0.7227.

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The target of the bearish pattern is the weekly control zone of 0.7097-0.7079. Reaching this zone will allow you to cover a large part of sales.

A weekly absorption pattern was formed on the higher timeframe. This can be a starting point in forming a corrective downward movement of the monthly level. The end of August is more likely to take place under the dictation of sellers.

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Daily CZ - daily control zone. The area formed by important data from the futures market, which changes several times a year.

Weekly CZ - weekly control zone. The zone formed by important marks of the futures market, which changes several times a year.

Monthly CZ - monthly control zone. The zone, which is a reflection of the average volatility over the past year.

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Control zones for USDCHF on 08/24/20

Testing the WCZ 1/2 0.9154-0.9141 today will make it possible for you to determine the next priority. The accumulation zone will continue to form if today's trading closes below the zone. The first goal of the decline will be last week's low.

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It is important to determine when to test this zone as well as the previous week's high. A false breakout of this range will indicate the presence of large limit sell orders.

If today's WCZ 1/2 test results in a higher closing price, then purchases will prevail throughout the current week. A reversal model of the higher timeframe will form, which will allow you to search for entry points to a long position. The growth target will be the weekly CZ 0.9304-0.9276.

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Daily CZ - daily control zone. The area formed by important data from the futures market, which changes several times a year.

Weekly CZ - weekly control zone. The zone formed by important marks of the futures market, which changes several times a year.

Monthly CZ - monthly control zone. The zone, which is a reflection of the average volatility over the past year.

The material has been provided by InstaForex Company - www.instaforex.com

Control zones for USD/JPY on 08/24/20

The pair failed to break through the Weekly Control Zone 1/2 105.43-105.28, which indicates an upward priority. The purchases opened last week should be held, as the growth target remains the weekly control zone 107.75-107.42. This is a medium-term prospect, so additional purchases are possible during the growth of the pair.

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To confirm the rising priority, it is suggested to close today's trading above the maximum of last Thursday. This will allow you to transfer purchases to breakeven.

An alternative model will be developed in the event that today's trading closes below the Weekly Control Zone 1/2. This will cancel the upward medium-term model and allow you to search for sales until the end of August. The first goal of the decline will be the July low.

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Daily CZ - daily control zone. A zone formed by important data from the futures market that changes several times a year.

Weekly CZ - weekly control zone. A zone formed by important marks of the futures market that change several times a year.

Monthly CZ - monthly control zone. A zone that reflects the average volatility over the past year.

The material has been provided by InstaForex Company - www.instaforex.com

Forecast for EUR/USD on August 24, 2020

EUR/USD

The euro continued to decline to the lower border of the trading range of 1.1710-1.1905, falling by 62 points last Friday. The reason for this was the discrepancy in the business activity indices of the euro area and the United States. So, the European Manufacturing PMI fell from 51.8 to 51.7 in August, and the US Manufacturing PMI increased from 50.9 to 53.6. To fully consolidate the downward trend, the price needs to settle below the lower limit of the range. The first goal is the 1.1625 level. The MACD line (blue indicator) is already approaching this level. The Marlin oscillator has entered the negative zone, strengthening and supporting the market mood.

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The price settled under both indicator lines on the four-hour chart, and the chances of reaching the lower limit of the 1.1710 range increased.

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The material has been provided by InstaForex Company - www.instaforex.com

Forecast for USD/JPY on August 24, 2020

USD/JPY

Last Friday, the yen traded in a range limited by the embedded price channel line at the bottom and the balance indicator line at the top on the daily chart. The signal line of the Marlin oscillator is trying to move into the growth zone.

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The Marlin has already settled in the growth zone on the four-hour chart, the price is struggling with the resistance of the balance indicator line. The exit of the price above the balance line will mean a shift in the market trend of the last 15 days in the direction of purchases. The growth target is a sub-line of the price channel at around 106.65 (daily). The first price resistance on this path will be the MACD line at 106.25.

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The material has been provided by InstaForex Company - www.instaforex.com

Hot forecast and trading signals for the GBP/USD pair on August 24. COT report. Traders start to panic. Pound sterling moves

GBP/USD 1H

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The GBP/USD pair moved down 200 points on August 21, as if nothing happened. Everything would be fine if it did not pass 200 points up the day before, and 200 points down the day before, and again 200 points up even earlier. These are the "swings". We even built a kind of trend channel with a minimal downward slope, although, in fact, this channel is more lateral. However, the rebound from its lower line suggests an upward movement now, if not to the upper line, then at least to the Kijun-sen line (1.3162). At the same time, consolidating the price below the descending channel will allow you to expect a stronger drop in quotes than 200 points. By and large, the pound has shivered non-stop since June 30 and has grown by almost 10 cents during that time. Thus, 200 points down is not even a correction, it is a pullback.

GBP/USD 15M

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The lower channel of linear regression has already turned down on the 15-minute timeframe, but the higher channel on the current "swing" has not yet had time to react. The latest Commitment of Traders (COT) report for the British pound, which was released on Friday, was very predictable. Non-commercial traders reopened 5,880 units of Buy-contracts and closed 2,232 units of Sell-contracts in the period from August 12 to 18. Thus, the net position for this category of traders increased again, by 8,000 contracts, which is not so small for the pound. In fact, the pound continued to grow against the US currency until August 18, inclusive, so the data from the COT report perfectly accurately reflects what was happening on the market at that time. But even the remaining three days of the week, which are not included in the COT report, do not suggest that the mood of professional traders has changed or will change in the near future. Thus, it is quite possible to expect that the upward trend will continue. At least until then, until we get additional technical signals for the continuation of the downward movement. By the way, it should also be noted that thanks to the last reporting week, the non-commercial category now has more Buy-contracts than Sell-contracts (52,000 against 49,000).

The fundamental background for the GBP/USD pair was reduced to one main event last Friday – the failure of the next, seventh round of negotiations on the future relationship between Britain and the European Union after Brexit. In addition to this news, it became known that business activity in the UK's services and manufacturing sectors significantly increased compared to last month. However, this data did not help the pound at all. Although the news of the failure of the next round of talks is also not a surprise. It is extremely difficult to explain the movements of the previous two days. There will be no macroeconomic publications in the UK and US today. Thus, the influence of the fundamental background should be absent today. Consequently, the pound/dollar pair may begin to adjust after such a strong fall on Friday.

There are two main options for the development of events on August 24:

1) Buyers finally let go of the pound/dollar pair, which has already led to a landslide crash twice. However, this process did not last long. Long positions are advised to be considered again while aiming for 1.3147, if the price settles above the Senkou Span B line (1.3095), and with the target of the upper channel line, if the1.3157-1.3183 area is overcome. Take Profit in this case will be 40 and 50 points.

2) Bears try to dominate again, but bulls do not let them go far down. Consolidating the price below the Kijun-sen line (1.3156) took place, but at the same time the price reached the lower line of the descending channel, thus a rebound and upward movement is possible. We recommend opening new shorts with targets at 1.3010 and 1.2939 in case of breaking the lower channel line. Take Profit in this case will be from 30 to 100 points.

Hot forecast and trading signals for the GBP/USD pair.

We recommend that you also explore the fundamental background in these articles:

Overview of the EUR/USD pair. August 24. "Four American Crises" continue to keep buyers of the dollar at bay.

Review of the GBP/USD pair. August 24. Which should have been proven: Brexit talks have failed. Brussels tries to revive the "dead horse". British pound hit by a storm

Explanations for illustrations:

Support and Resistance Levels are the levels that serve as targets when buying or selling the pair. You can place Take Profit near these levels.

Kijun-sen and Senkou Span B lines are lines of the Ichimoku indicator transferred to the hourly timeframe from the 4-hour one.

Support and resistance areas are areas from which the price has repeatedly rebounded off.

Yellow lines are trend lines, trend channels and any other technical patterns.

The material has been provided by InstaForex Company - www.instaforex.com

Hot forecast and trading signals for the EUR/USD pair on August 24. COT report. Inactive professional players. Traders continue

EUR/USD 1H

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The euro/dollar turned around the resistance area of 1.1886-1.1910 and resumed its downward movement, overcoming an important and strong Senkou Span B line on the hourly timeframe on August 21. It began a rising correction by the end of the day, which may continue in the first trading day of the new week. But the price rebound from the Senkou Span B line may provoke a resumption of the downward movement. However, the bears are waiting for an equally strong support area of 1.1702-1.1727, which is not just a support area, but also an area that the price cannot overcome since July 27. During this time, the quotes of the euro/dollar pair tested it five times from the top and each time the attempt to overcome it was unsuccessful. Therefore, before overcoming this area, we believe that the prospects for the US currency are very dim.

EUR/USD 15M

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Both linear regression channels are directed downwards on the 15-minute timeframe, but the support area of 1.1702-1.1727 is more important now. Last Friday, a new Commitment of Traders (COT) report was released. According to this report, non-commercial traders behaved very calmly during the reporting week (August 12-18). In total, the "non-commercial" category of traders, which is considered the most important, closed 4,500 Buy-contracts and the same number of Sell-contracts during this period. Thus, the net position for this category of professional players remained unchanged. And along with it, the mood of traders has not changed. Thus, the COT report still does not give any reason to assume that forming an upward trend has been completed. Even if we take into account the fact that the pair fell by 200 points between August 19 and 21, this still does not change anything. During the current upward trend, which has been forming for three months, the pair has already fallen by 200 points. This value continues to be extremely small, as the overall growth of the pair over this period was about 1200 points. Thus, it is difficult to call 200 points of decline even a correction. Therefore, even taking into account the fact that the last three trading days were not included in the COT report, we still can not expect a sharp change of mood from non-commercial traders.

The fundamental background for the EUR/USD pair was quite interesting last Friday, however, technical factors still ruled the ball on the currency market, and not macroeconomic data. We should note that business activity in the services and manufacturing sectors of the EU countries began to decline and reached the lowest positive levels - just above 50.0. Traders may witness lower values in the next month, and in the meantime, fairly high levels of coronavirus are reported again in France and Spain. It's time to talk about the second wave. If the situation does not improve in the near future, the European Union will face new problems of both epidemiological and economic nature, which, in turn, may negatively affect the euro's exchange rate and allow the dollar to finally go below $1.17.

Based on the above, we have two trading ideas for August 24:

1) Bulls have temporarily abandoned new purchases of the euro and continue to take profits on previously opened trades. The pair has already dropped below the Senkou Span B line and may continue to fall. Thus, in order for the upward trend to resume, the quotes must return to the area above the 1.1886-1.1910 range. In this case, we will recommend buying the euro again with targets at the levels of 1.1958 and 1.2051. Take Profit in this case will be from 40 to 120 points.

2) Bears finally seized the initiative in the market and began to pull the pair down. However, a lot depends on the bulls, which simply closed part of the longs. Nevertheless, we recommend selling the pair while aiming for the support level of 1.1745 and the support area of 1.1702-1.1727, as traders managed to overcome the Senkou Span B line (1.1812). Potential Take Profit in this case will be from 40 to 80 points.

Hot forecast and trading signals for the GBP/USD pair.

We recommend that you also explore the fundamental background in these articles:

Overview of the EUR/USD pair. August 24. "Four American Crises" continue to keep buyers of the dollar at bay.

Review of the GBP/USD pair. August 24. Which should have been proven: Brexit talks have failed. Brussels tries to revive the "dead horse". British pound hit by a storm

Explanations for illustrations:

Support and Resistance Levels are the levels that serve as targets when buying or selling the pair. You can place Take Profit near these levels.

Kijun-sen and Senkou Span B lines are lines of the Ichimoku indicator transferred to the hourly timeframe from the 4-hour one.

Support and resistance areas are areas from which the price has repeatedly rebounded off.

Yellow lines are trend lines, trend channels and any other technical patterns.

The material has been provided by InstaForex Company - www.instaforex.com

Overview of the GBP/USD pair. August 24. Brexit negotiations failed.

4-hour timeframe

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Technical details:

Higher linear regression channel: direction - upward.

Lower linear regression channel: direction - upward.

Moving average (20; smoothed) - sideways.

CCI: -85.9271

On August 18, the British pound gained about 150 points, then fell by 200 points, gained 200 points and fell again by 200 points. These last three days have been fun. The most interesting thing is that it is impossible to give an unambiguous explanation of what is happening. If the pound was growing almost unreasonably before, now it is just tossing from side to side. "Groundless" - because the factors that pushed the US dollar down have already been worked out by the market many times. But for some reason, traders have forgotten about all the problems in the UK and do not want to remember them. But we once again recall that the last 4 years, since the referendum on leaving the EU, have been black for the pound, as well as for the whole of the UK. The British currency has been falling for most of this period against all its competitors, and the UK economy first began to slow, then contract, then, thanks to the "coronavirus", collapsed and lost 20% in the second quarter. Moreover, this is not all that the pound expects in the near future. Recall that from January 1, 2021, Brussels and London will trade with each other under the WTO rules, which are much less profitable for both sides than the free trade that operates between EU member states. But Britain will officially cease to be a member of the EU on January 1, 2021. And if this is only a small "minus" for the economy of 27 countries, then it will be another big "minus" for the UK economy. More than 50% of exports were sent from Britain to the European Union. Now trade turnover will decrease, duties will increase, so trade between the Alliance and the Kingdom will become much less profitable. And if Boris Johnson had managed to sign a trade agreement with the US during this time, he would have been forgiven for completely severing ties with the European Union. But there is no agreement with the States either. And if Donald Trump fails to get re-elected for a second term, then this agreement may not be. Or it may be signed in a few years.

Therefore, the hopes of many experts were still connected with the European Union and the trade agreement with it. There were seven rounds of negotiations between the parties and it became clear that there would be no agreement in the second or third round. But no. It was obvious that there would be no agreement even before the start of negotiations, as Boris Johnson's position on Brexit was initially "hard Brexit". He did not hesitate to declare this, and only the Parliament fought against his destructive initiative. However, the British decided that severing ties with the EU is a good option and gave all the power to Boris Johnson's party in the parliamentary elections. So now you don't even need to vote for a particular conservative bill in Parliament. Only their party has enough votes to make any decision. Despite the fact that from the very beginning it was clear that the "deal" will either not happen, or it will be as Boris Johnson sees it, it was clear for a long time, since the British Prime Minister is negotiating on the principle of his "Big Brother" Donald Trump – "either everything will be my way, or nothing". However, if Trump can afford such a luxury, since he is the President of a country with the strongest economy in the world, then Boris Johnson is not. Thus, it is quite expected that the European Union does not make concessions, provocations and blackmail of Boris Johnson are not conducted. At the end of the seventh round of talks last week, Michel Barnier said that "the parties will probably not be able to conclude an agreement on the relationship after Brexit" and that, "instead of getting closer, the parties have started to move away from each other". "In general, it is unlikely that the EU and the UK will be able to conclude an agreement before the end of the year. I do not understand why we should continue to waste time on these negotiations with this attitude of the British side," said the chief negotiator from the European Union. Moreover, Michel Barnier noted that London has begun to put forward new requirements that do not meet the principle of common sense and are devoid of logic. For example, Barnier said that London wants to maintain access to the European transport market, while refusing to comply with EU transport regulations. "However, it was the UK that decided to leave the EU, not the EU that denied it access to the European market," Barnier says. Thus, at this time, Barnier sees only one way to avoid a complete break in ties between the EU and Britain – to conclude an agreement that concerns exclusively free trade. Barnier's colleague David Frost also believes that there was progress in the seventh round of negotiations, but very little. Frost believes that an agreement can still be made, but "it will not be easy".

We can only say one thing. London and Brussels, in fact, stand in the same place. Negotiations are not progressing. On key issues (fisheries, competition, the judicial system and compliance with standards), there is no progress at all and no one wants to give in. On Friday, the UK also published a report on retail sales, which increased in volume in July by 3.6% compared to June and exceeded forecasts, as well as business activity indices in the manufacturing and services sectors. The first index rose to 55.3, the second to 60.1. All macro-economic reports exceeded forecasts and the pound sterling fell down. And indeed, it could be clearly stated that the problem is information about the failed negotiations, but before that, for two days, the pound was also tossed from side to side, and previously there was already information about the failed six rounds of negotiations, so this was not such an unexpected and important news.

As a result, while the pound/dollar pair is fixed back below the moving average line, whether the bears can continue to move the pair down is a big question. Despite the fact that the pair has twice passed the distance of 200 points down in recent days, the previous local lows were not passed. Therefore, the further fall in quotes is a great question.

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The average volatility of the GBP/USD pair is currently 142 points per day. For the pound/dollar pair, this value is "high". On Monday, August 24, thus, we expect movement within the channel, limited by the levels of 1.2947 and 1.3231. Turning the Heiken Ashi indicator upward will indicate a possible new round of upward correction.

Nearest support levels:

S1 – 1.3062

S2 – 1.3000

S3 – 1.2939

Nearest resistance levels:

R1 – 1.3123

R2 – 1.3184

R3 – 1.3245

Trading recommendations:

The GBP/USD pair is trying to start a new downward trend on a 4-hour timeframe. Thus, today it is recommended to consider new short positions with the goals of 1.3000 and 1.2939 and hold them until the MACD indicator turns upward. It is recommended to open buy orders again before fixing the price above the moving average with the goals of 1.3231 – 1.3245.

The material has been provided by InstaForex Company - www.instaforex.com

Overview of the EUR/USD pair. August 24. The "four American crises" continue to keep buyers of the US currency at bay.

4-hour timeframe

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Technical details:

Higher linear regression channel: direction - upward.

Lower linear regression channel: direction - upward.

Moving average (20; smoothed) - downward.

CCI: -144.9948

The EUR/USD currency pair spent the last trading day of the week in a downward movement. Therefore, we can still assume that the upward trend is complete. However, as we said earlier, the pair's quotes still failed to overcome the previous local lows, which are located near the Murray level of "4/8" - 1.1719. Thus, the pair may again try to go flat between the Murray levels of "6/8" and "4/8", and may resume the upward trend at any time, as the bears still do not show any signs of wanting to start actively selling the pair. Thus, despite the fact that the US dollar has risen slightly in recent days, we cannot draw any important conclusions based on this. The upward trend continues, as evidenced by both channels of linear regression. Fixing quotes below the moving average line only indicates a possible change in the trend, since over the past month the price has overcome the moving three times and each time the upward movement has resumed.

On Friday, August 21, several relatively important macroeconomic reports were published in the European Union and the United States. We are talking about indices of business activity in various sectors of the economy. As it turned out, in Germany, the index of business activity in the manufacturing sector continued to grow and amounted to 53 in August, however, the service sector began to fall – from 55.1 to 50.8. We would like to focus traders' attention on the decline in business activity in the service sector. Does this mean that the most vulnerable area (in the context of the "coronavirus" pandemic) is again beginning to show signs of decline? After all, in France and Spain, outbreaks of "coronavirus" are recorded again. In Germany, from 1 to 2 thousand new cases of the disease are recorded daily. Thus, it is impossible to say that the pandemic was completely overcome in the EU countries. Consequently, people continue to behave cautiously, which is reflected in business and economic activity. Thus, from our point of view, the drop in business activity in the service sector is a bad call. In France, things are even worse. Business activity in the service sector fell to 51.9, and in the manufacturing sector – to 49. In other words, the manufacturing sector has started to shrink again. And how can we not draw a parallel with the same COVID-2019, if on August 21 in France, 15,000 cases of the disease were recorded (according to the Johns Hopkins Institute). This is the second maximum value since the beginning of the pandemic. In fact, in France, we can talk about the second "wave" with confidence, unfortunately. As for the data for the European Union as a whole, all three business activity indices were worse than predicted and worse than previous values. The service sector – a drop from 54.7 to 50.1, the manufacturing sector – a drop from 51.8 to 51.7, the composite index – a drop from 54.9 to 51.6.

In the States, the situation is slightly better, but we remind you that it was the States that became the record holder for the fall in GDP in the second quarter. The index of business activity in the services sector increased from 50 to 54.8, and in the manufacturing sector – from 50.9 to 53.6. In fact, we can even make an assumption that on Friday it was the business activity indices that caused the strengthening of the US currency, since all the European ones failed, and the US ones exceeded forecasts. However, we still believe that macroeconomic statistics have a minimal impact on the mood of traders.

Meanwhile, Donald Trump continues to hint at the desirable postponement of the presidential election and criticizes the vote by mail. As already declared by the President of the United States, Democrats can use the vote by mail in order to falsify the election results. However, Trump does not want the vote to take place by mail. "The results of the elections will not be known, in my opinion, for weeks, months, and perhaps never at all. It may take years to count the votes," the US leader said. "There is a theory that if the result is not established by the end of the year, crazy Nancy Pelosi will become President of the United States. Do you know that?" – added Trump.

In fact, nothing in the States has changed or changed over the past week. Nothing has changed for the better. Democrats and Republicans have not come to a common denominator on the size of the aid package for the American economy. "Coronavirus" has only slightly retreated and the country continues to record 40-50 thousand new diseases every day. Donald Trump continues to worry about future elections and speaks only on the topic of elections and the topic of Democrats. Trump has already forgotten about "coronavirus", "coronavirus" briefings have also disappeared again. Well, it's not worth talking about the economy once again. In fact, the entire country is already in election mode, and now the future will depend on their results. There is also China, relations with which continue to deteriorate, which also does not add confidence to the dollar, and traders – the desire to buy this very dollar. Separately, you can touch on the topic of the COT report (a new one was released on Friday), but it showed minimal changes in the mood of non-profit traders (the most important category of large traders). That is, according to the COT report, it is impossible to conclude that the dollar will now become more expensive.

From a technical point of view, the move of the euro/dollar pair down may end near the Murray level of "4/8" - 1.1719. Approximately from this level earlier, the price bounced several times. Thus, we warn traders that the growth of the US currency may be very short-lived.

On Monday, the calendar of macroeconomic events for the European Union and the United States is empty. Thus, the volatility of the euro/dollar pair may be low.

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The volatility of the euro/dollar currency pair as of August 24 is 94 points and is characterized as "high". Thus, we expect the pair to move today between the levels of 1.1703 and 1.1891. A reversal of the Heiken Ashi indicator to the top will signal a possible resumption of the upward trend or a round of upward correction.

Nearest support levels:

S1 – 1.1719

S2 – 1.1597

S3 – 1.1475

Nearest resistance levels:

R1 – 1.1841

R2 – 1.1963

R3 – 1.2085

Trading recommendations:

The EUR/USD pair has started a downward movement and is located slightly below the moving average. Thus, today it is recommended to open new long positions with targets of 1.1891 and 1.1963, if the pair returns to the area above the moving average line. Since the price still overcame the moving, it is now recommended to trade lower with the goals of 1.1719 and 1.1703. Further downward movement will be possible only after confident overcoming of these goals.

The material has been provided by InstaForex Company - www.instaforex.com

Analytics and trading signals for beginners. How to trade the EUR/USD pair on August 24? Analysis of Friday trades. Preparation

Hourly chart of the EUR/USD pair

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The EUR/USD currency pair continued a strong downward movement for most of the day on Friday, August 21. Thus, as a result, we have even formed a downward trend. It looks very impressive on the hourly chart. If you look at a higher timeframe, novice traders may notice that all the current downward movement is just a tiny correction against a three-month upward trend. Moreover, the price has not been able to go below the 1.1700 level for almost a whole month, although there have been plenty of attempts to do so. Thus, it will not be surprising if the dollar starts to fall again (the growth of the euro/dollar pair) on Monday or Tuesday. However, we also have a downward trend line, which now makes it a little easier to determine the trend for this pair. As long as the price is below the trend line - we trade for a decrease, as soon as it settles above it – we begin to consider long positions.

Macroeconomic publications on Friday were quite interesting. Business activity indices in the European Union (Germany and France), as well as in the European Union as a whole, were the most surprising. Analysts expected that the deterioration in comparison with the previous period will not happen, since after the strongest decline in the second quarter, caused by the coronavirus epidemic and quarantine, a period of recovery has come. Fast or slow, it doesn't matter. The economy has started to recover. This means that business activity is the first indicator that should grow or reflect the recovery of the services and manufacturing sectors. However, in practice, it turned out that business activity in the European Union fell to critical values on the verge of a new decline in August. We remind novice traders that any value above 50 is considered positive and reflects the growth of the economy sector. Thus, in general, all three business activity indices in the EU (for the services sector, manufacturing sector, and the composite) were positive, but worse than a month earlier. And the main thing is that with this trend in September, they may go below the 50 mark again, which will again mean a reduction in one or another area of the economy.

No important publication in the European Union or the United States planned on August 24, Monday. Therefore, novice traders can only pay attention to the general fundamental background. We believe that at this time, technical factors and the mood of market participants are in first place. Thus, if there is no high-profile news and events on Monday, then the pair will most likely trade exclusively on the technique. And the technique at this time implies the continuation of the upward correction to the trend line. The MACD indicator has signaled its beginning, the signal is shown in the illustration with circles.

The following scenarios are possible on August 24:

1) Buying the pair at this time remains irrelevant, since the price has settled below the rising trend line. Thus, now buyers need to wait for a new upward trend to form. It is necessary to wait for the construction of new trend patterns or the cancellation of the corresponding downward patterns. Accordingly, it is not recommended to open purchases before breaking the descending trend line.

2) Selling the currency pair at this time is more relevant, since we already have a downward trend line at our disposal. Thus, we recommend waiting for the MACD indicator to turn down and after that open new sell orders with targets at 1.1777 and 1.1751 (these targets will be specified in tomorrow's morning review). The closer to the zero mark the MACD indicator turns downwards, the less the indicator will be late with its reaction.

What's on the chart:

Support and Resistance Levels are the levels that serve as targets when buying or selling the pair. You can place Take Profit near these levels.

Red lines are the channels or trend lines that display the current trend and show in which direction it is preferable to trade now.

Up/down arrows show where you should sell or buy after reaching or breaking through particular levels.

MACD indicator (10,20,3) consists of a histogram and a signal line. When they cross, this is a signal to enter the market. It is recommended to use this indicator in combination with trend lines (channels and trend lines).

Important announcements and economic reports (you can always find them in the news calendar) can seriously influence the trajectory of a currency pair. Therefore, at the time of their release, it is recommended to trade as carefully as possible or exit the market in order to avoid a sharp price reversal.

Beginners in the Forex market should remember that not every single trade should be profitable. The development of a clear strategy and money management are the key to success in trading over a long period of time.

The material has been provided by InstaForex Company - www.instaforex.com

EUR/USD. How did Donald Trump get tired of all America, and who else is ready to support him in the election?

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The theme of the presidential election remains the number one topic in the United States. Despite the fact that the trade standoff between the United States and China is no less important, which threatens to result in a full-scale "cold war", or an epidemic of "coronavirus", it is on who will become the next President of the United States that a lot depends on this country. It is no secret that if the President was already not a businessman-Trump, but for example a more conservative Biden, it is likely that the bet would be made on the fight against the "coronavirus", and not on the recovery of the economy. And that would have saved perhaps tens of thousands of lives. Of course, it is unlikely that the administration of another President would have completely abandoned the economic priority and introduced a new "lockdown", but it is possible that much more attention would have been paid to the pandemic. The same applies to foreign economic policy. Trump fully adheres to the principle described in George Orwell's 1984 book "War is peace, peace is war". In other words, it is normal for Trump to constantly be in a state of conflict with other States, with other political forces, with journalists, with NBA players, the list can go on indefinitely. Again, we are not saying that other countries never come into conflict with anyone. Everyone is in conflict, since it is about protecting national interests. But someone comes into conflict only in extreme cases, when there are no other options left, and someone believes that this is the best way to solve all problems. What the United States came to thanks to this method of solving problems is now seen by the whole world. It was America that was mired in an epidemiological, economic, political, and social crisis. And most importantly, the situation has not improved much yet. For example, the COVID-2019 pandemic has declined, but fewer than 40,000 cases per day are not recorded. This means that Americans continue to get infected, get sick, and are banally afraid to lead an active social life. Naturally, in such conditions, economic recovery will not only be difficult, but also high unemployment continues to require huge cash injections. In addition to all the above problems, Democrats and Republicans can not agree on a new package of financial assistance to support the unemployed and small and medium-sized businesses. And again, everything passes through the prism of future elections. Democrats are pushing for $ 3 trillion, clearly expecting that such generosity will add points to Joe Biden, and Donald Trump is offering only $ 1 trillion, as he wants Americans not to sit at home on unemployment benefits (which some have higher wages), but rather to return to work, and the economy is recovering.

And in addition to all the above-mentioned crises, political skirmishes continue in the US government. In principle, this is not surprising. In any country where there is at least some hint of democracy, there are several leading political forces that naturally criticize each other and fight for power. However, in the States this year, everything has long been beyond the bounds of decency. Trump has repeatedly allowed himself to insult representatives of the Democratic party, in particular Joe Biden, Nancy Pelosi, Barack Obama and others. In turn, the Democrats do not stop throwing mud at the President and all this is called "power struggle". "He showed no desire to go deeper into the work. No desire to use enormous power to help anyone other than yourself and your friends. No desire to make the presidency something other than another reality show in order to get the attention that he loves so much," Barack Obama said at the Democratic Party convention. And, in principle, if we abstract from political wars, Obama is absolutely right. For Trump, attention is everything. Perhaps never before in the United States has there been a President who manages to give several interviews a day, comment on absolutely everything that is happening in the world, and simultaneously manage to actively maintain their accounts in social networks. The question arises, when does Trump rule the country? It is clear that his social media accounts are not maintained by him personally, but in his comments, he repeatedly referred to his statements on Twitter. That is, the President is aware of what is published in his accounts. For example, do you often see interviews, statements or speeches by Angela Merkel or Emmanuel Macron? Well, the very essence of Trump's statements has long been a byword. We have already repeatedly written that according to the calculations of several well-known editors, for almost 4 years of the government, Trump misled his comments at least 20,000 times. That is, the US President makes false statements about 15 times a day. Think about it, the President of the United States makes 15 false comments every day. And this is not a study of the enemy media, this is a study of the American media. This is the kind of support Trump has in America itself.

"I see the horror that he left us, and how stupid he was in all his business. Look how ineffective a President he was! The main reason why I am now standing before you as President is called Obama and Joe Biden!", said Donald Trump. However, he constantly forgets that the new recovery of the US economy after the crisis of 2008-2009 began just with Barack Obama. It was under him that the US economy began to grow again, and Trump only continued the work of Obama. Moreover, in addition to Trump, no one criticizes Obama and even more so Biden for some reason. Have you seen at least one interview of any Republican in which he criticized the former President and his administration? It is possible that such an interview is, but these are isolated cases. For example, one Donald Trump a day can more often criticize Biden and Obama than all the Republicans combined over the past 4 years.

Finally, new results of sociological research. In the most important States, Joe Biden still leads. In Arizona, Florida, Michigan, Minnesota, Nevada, New Hampshire, Ohio, Pennsylvania, Virginia and Wisconsin, Biden leads the polls. Trump is ready to support in Georgia, Iowa, North Carolina and Texas. Attention! In all States except Texas, Trump's advantage does not exceed 2%. Biden leads in all of his States with a 5-10% advantage.

Thus, in our subjective opinion, which is based only on the realities and prospects of the currency market and the US dollar, in particular, it would be better if Joe Biden became the new US President. And so far, that's exactly what it's all about. However, the election is still about 2.5 months away.

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Trading recommendations for the EUR/USD pair:

The technical picture of the EUR/USD pair shows that the price has finally started to move down, but it is absolutely unclear how long it will continue. A new "dead cross" has been formed, and the Ichimoku cloud has been overcome. Thus, the bears managed to overcome the key obstacles to the march to the south. At the same time, a very weak fundamental background from overseas may simply not cause market participants to want to buy the US dollar.

The material has been provided by InstaForex Company - www.instaforex.com