The currency pair EUR / USD on the 4-hour chart continues the process of falling towards the level of 1.1269, after closing at the Fibo level of 23.6% – 1.1358. The bullish divergence of the MACD indicator is still brewing. Its formation will allow traders to count on a turn in favor of the EU currency and some growth of the pair. Fixing the course of the pair above the correction level of 23.6% will similarly work in favor of the euro currency and the beginning of growth in the direction of the correctional level of 38.2% – 1.1446.
The Fibo grid is built on extremes from September 24, 2018, and November 12, 2018.
On the 24-hour chart, the currency pair continues the process of returning to the correctional level of 127.2% – 1.1285. The release of quotes from this Fibo level will allow traders to expect a reversal in favor of the euro currency and some growth in the direction of the correction level of 100.0% – 1.1553. Overcoming divergences are not observed. Fixing the pair below the level of 127.2% will increase the probability of a further fall in the direction of the next correction level of 161.8% – 1.0941.
The Fibo grid is built on extremums from November 7, 2017, and February 16, 2018.
Recommendations to traders:
Purchases of the currency pair EUR / USD can be carried out with a target of 1.1446 if the pair closes above the correction level of 23.6% and a Stop Loss order under 1.1358, especially in combination with the formation of bullish divergence.
Sales of the currency pair EUR / USD can be carried out now with a target of 1.1269, as the pair completed closing below the level of 1.1358, and a Stop Loss order above the level of 1.1358 and left them open until a bullish divergence is formed.
The material has been provided by InstaForex Company – www.instaforex.com