Analysis and trading tips for EUR/USD on October 12 (US session)
October 12, 2023 1:24 pm
Analysis of transactions and trading tips on EUR/USD
The test of 1.0627 earlier in the day took place when the MACD line moved downward from zero, prompting a signal to sell. However, traders decided not to rush ahead of important data, so a large decline did not occur.
The latest US inflation data lies ahead, and a growth in prices will likely lead to a rise in dollar, resulting in a drop in EUR/USD. On the other hand, if the prices rise but at a slower pace, euro will climb up.
For long positions:
Buy when euro hits 1.0630 (green line on the chart) and take profit at the price of 1.0663. Growth will occur after news of a slowdown in price pressure in the US and dovish rhetoric from Fed representatives. However, when buying, ensure that the MACD line lies above zero or rises from it.
Euro can also be bought after two consecutive price tests of 1.0613, but the MACD line should be in the oversold area as only by that will the market reverse to 1.0630 and 1.0663.
For short positions:
Sell when euro reaches 1.0613 (red line on the chart) and take profit at the price of 1.0588. Pressure will return in the case of strong statements from Fed representatives and significant price pressure in the US. However, when selling, make sure that the MACD line lies below zero or drops down from it.
Euro can also be sold after two consecutive price tests of 1.0630, but the MACD line should be in the overbought area as only by that will the market reverse to 1.0613 and 1.0588.
What’s on the chart:
Thin green line – entry price at which you can buy EUR/USD
Thick green line – estimated price where you can set Take-Profit (TP) or manually fix profits, as further growth above this level is unlikely.
Thin red line – entry price at which you can sell EUR/USD
Thick red line – estimated price where you can set Take-Profit (TP) or manually fix profits, as further decline below this level is unlikely.
MACD line- it is important to be guided by overbought and oversold areas when entering the market
Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.
And remember that for successful trading, you need to have a clear trading plan. Spontaneous trading decision based on the current market situation is an inherently losing strategy for an intraday trader.
The material has been provided by InstaForex Company – www.instaforex.com
Analysis of transactions and trading tips on EUR/USD
The test of 1.0627 earlier in the day took place when the MACD line moved downward from zero, prompting a signal to sell. However, traders decided not to rush ahead of important data, so a large decline did not occur.
The latest US inflation data lies ahead, and a growth in prices will likely lead to a rise in dollar, resulting in a drop in EUR/USD. On the other hand, if the prices rise but at a slower pace, euro will climb up.
For long positions:
Buy when euro hits 1.0630 (green line on the chart) and take profit at the price of 1.0663. Growth will occur after news of a slowdown in price pressure in the US and dovish rhetoric from Fed representatives. However, when buying, ensure that the MACD line lies above zero or rises from it.
Euro can also be bought after two consecutive price tests of 1.0613, but the MACD line should be in the oversold area as only by that will the market reverse to 1.0630 and 1.0663.
For short positions:
Sell when euro reaches 1.0613 (red line on the chart) and take profit at the price of 1.0588. Pressure will return in the case of strong statements from Fed representatives and significant price pressure in the US. However, when selling, make sure that the MACD line lies below zero or drops down from it.
Euro can also be sold after two consecutive price tests of 1.0630, but the MACD line should be in the overbought area as only by that will the market reverse to 1.0613 and 1.0588.
What’s on the chart:
Thin green line – entry price at which you can buy EUR/USD
Thick green line – estimated price where you can set Take-Profit (TP) or manually fix profits, as further growth above this level is unlikely.
Thin red line – entry price at which you can sell EUR/USD
Thick red line – estimated price where you can set Take-Profit (TP) or manually fix profits, as further decline below this level is unlikely.
MACD line- it is important to be guided by overbought and oversold areas when entering the market
Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.
And remember that for successful trading, you need to have a clear trading plan. Spontaneous trading decision based on the current market situation is an inherently losing strategy for an intraday trader.
The material has been provided by InstaForex Company – www.instaforex.com
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