As estimated, EURUSD has continued its sideways move. Having struggled around the 1.1800 level for most of the day, EURUSD closed the week at 1.17730 ahead of ECB’s meeting and US advanced Q3 GDP.
The pair was driven by the politics last week. Another important point is yield spreads are moving significantly against EURUSD , with ECB expansion to continue deep into 2018.
Yield differentials alone suggest EURUSD could test the 100 around 1.1650, assuming that the ECB on Thu confirms will continue to at least Sep 2018.
On the ; pair closed the week 50 and Fib 76.40% support. It is inside the Kumo. The real problem for EURO bulls could start when the price moves out of the Kumo – downside-
We can say that 1.16400 -EMA 100- will be the support of the week.
There are certain things we need to keep in our my minds:
1.18500 – 1.188000 region is the most important resistance. Price needs to make daily closings above this region to continue its upwards move.
1.16500 is the most important support for the pair. Break out of this support will carry the price towards 1.14000 – 1.12000.
On the H4 chart, we can see the DOWNWARD pressure on EURUSD . The pair closed the week below 50 and at the 100 support.It is testing the KUMO border. gives sell signal and heads to South.
On the downside, 1.17400 and 1.17100 will be the important support levels of Monday. I predict the sideways movement will continue on Monday and Tuesday.
On the upside: 1.18100 and 1.18400 will be the resistance levels.
It seems like a classical ” Buy from support, sell from resistance” play.
” What shall we do?
Not to enter LONG or SHORT with bigger lots.
Daily closings above 1.18500 – 1.18800 will confirm the 1.21000 – 1.22500.
Daily closings below 1.16500 will confirm 1.13500 – 1.4500. “
Why do we trade? To make a good profit. This week there will be better instruments to make bigger profits: JPY, GBP and NZD . I will be focusing on those instruments rather than focusing on EURUSD till it offers 200-300 pips profit opportunity.
buy rumors sell on the news , when amours happend there's no reason to stay with
these rumors get eur down already.