4h
A new bearish divergence at the CCI indicator allowed the EUR / USD currency pair to make a turn in favor of the American currency and begin the process of falling in the direction of the correctional level of 61.8% - 1.1497. Fixing the pair on October 8 under the Fibo level of 61.8% will increase the likelihood of a further fall towards the next level of correction 76.4% - 1.1424. The end of the quotations from the Fibo level of 61.8% will work in favor of the EU currency and some growth in the direction of the correction level of 50.0% - 1.1558.
The Fibo grid is built on extremes from August 15, 2018, and September 24, 2018.
Daily
On the 24-hour chart, the pair quotes were consolidated below the Fibo level of 100.0% - 1.1553. As a result, the fall in quotations can be continued in the direction of the next level of correction of 127.2% - 1.1285. Over the current chart, no indicator has maturing divergences. Fixing the pair above the Fibo level of 100.0% traders will be able to interpret as a reversal in favor of the European currency and expect some increase in the direction of the correction level of 76.4% - 1.1789.
The Fibo grid is built on extremes from November 7, 2017, and February 16, 2018.
Recommendations to traders:
You can make purchases of the EUR / USD currency pair with a target of 1.1558 with a Stop Loss order below the Fibo level of 61.8% if the pair bounces off of the correction level of 1.1497.
Sales of the EUR / USD currency pair can be carried out with the target of 1.1424 with a Stop Loss order above the Fibo level of 61.8% if the pair closes below the correction level of 1.1497.
The material has been provided by InstaForex Company - www.instaforex.com