How to trade the EUR/USD currency pair on April 11th. Simple tips and trade analysis for beginners
April 11, 2023 10:22 am
Analysis of Monday’s deals:
EUR/USD 30M chart.
The EUR/USD currency pair displayed a lot of movement on Monday, although nothing significant or intriguing was scheduled for that day. However, market participants failed to determine unemployment and Nonfarm payrolls in the United States on Friday, so they had to do so yesterday. Despite the dollar’s logical growth, it has already lost all its advantages. The pair reluctantly falls even when there is every reason for them to fall. A downward channel has formed on the hourly TF, and the price is approaching its upper boundary. Fixing above it could cause an additional round of unwarranted growth in the European currency. This week, neither the European Union nor the United States has received significant data, which is unlikely to change today. Therefore, resuming the euro’s growth would be another illogical development. However, a rebound from the channel’s upper boundary could support the dollar’s growth for some time.
EUR/USD 5M chart.
The 5-minute TF indicates that the day’s movements were quite favorable. Beginning with a small margin of error from the level of 1.0920, the pair formed a strong sell signal. Subsequently, a relatively significant decline commenced, and the pair surpassed the area between 1.0857 and 1.0867. Beginner traders could therefore maintain short positions. There was no purchase signal until the end of the trading day, so the short positions had to be closed manually. Profit ranged between 60 and 70 points, which is an outstanding result. Please note that the pair moved without abrupt reversals or pullbacks throughout the day. This is the ideal sort of price movement for traders.
How to trade on Tuesday:
On the 30-minute time frame, the pair is extremely weakly adjusted, and this “outrage” could end anytime. The pair may establish a foothold above the downward channel in the coming hours, triggering a new round of euro currency growth. Tomorrow, on the 5-minute TF, the levels should be considered 1.0692, 1.0737, 1.0792, 1.0857-1.0867, 1.0920-1.0933, 1.0966, 1.0989, 1.1038, 1.1070, 1.1132. If the price moves 15 points in the desired direction, the Stop Loss can be adjusted to break even. Tuesday has no significant events scheduled in the United States. Even though it is possible to observe only two speeches of Fed members in the evening, novice traders will have left the market by that time. The European Union will release a report on retail sales in the morning, but we do not anticipate a significant market reaction.
1) The signal’s intensity is calculated based on the time it took to generate the signal (rebound or overcome the level). Less time was required, and the stronger the signal.
2) If two or more trades were opened near a particular level based on false signals, subsequent signals from this level should be disregarded.
3) In a flat, any pair may generate numerous false signals or none at all. In any event, it is best to cease trading at the first sign of a flat.
4) Trade transactions are initiated between the beginning of the European session and the middle of the American session when they must all be manually closed.
5) Signals from the MACD indicator can only be traded on a 30-minute time frame (TF) if there is high volatility and a trend is validated by a trend line or trend channel.
6) If two levels are too close (between 5 and 15 points), they should be regarded as a support or resistance area.
What’s on the charts: The price support and resistance levels are entry points for purchases and sales. Take Profit levels may be positioned nearby.
Red lines are channels or lines that depict the present trend and indicate the optimal trading direction.
The MACD indicator (14, 22,3) consists of a histogram and a signal line; it is a supplementary indicator that can also serve as a signal source.
Important speeches and reports (which are always included in the news calendar) can significantly impact the movement of a currency pair. To avoid a sharp price reversal against the prior trend, you should trade cautiously or exit the market during their exit.
Beginners in forex trading must remember that only some transactions can be profitable. The key to long-term success in trading is developing a distinct strategy and effective money management.
The material has been provided by InstaForex Company – www.instaforex.com
Analysis of Monday’s deals:
EUR/USD 30M chart.
The EUR/USD currency pair displayed a lot of movement on Monday, although nothing significant or intriguing was scheduled for that day. However, market participants failed to determine unemployment and Nonfarm payrolls in the United States on Friday, so they had to do so yesterday. Despite the dollar’s logical growth, it has already lost all its advantages. The pair reluctantly falls even when there is every reason for them to fall. A downward channel has formed on the hourly TF, and the price is approaching its upper boundary. Fixing above it could cause an additional round of unwarranted growth in the European currency. This week, neither the European Union nor the United States has received significant data, which is unlikely to change today. Therefore, resuming the euro’s growth would be another illogical development. However, a rebound from the channel’s upper boundary could support the dollar’s growth for some time.
EUR/USD 5M chart.
The 5-minute TF indicates that the day’s movements were quite favorable. Beginning with a small margin of error from the level of 1.0920, the pair formed a strong sell signal. Subsequently, a relatively significant decline commenced, and the pair surpassed the area between 1.0857 and 1.0867. Beginner traders could therefore maintain short positions. There was no purchase signal until the end of the trading day, so the short positions had to be closed manually. Profit ranged between 60 and 70 points, which is an outstanding result. Please note that the pair moved without abrupt reversals or pullbacks throughout the day. This is the ideal sort of price movement for traders.
How to trade on Tuesday:
On the 30-minute time frame, the pair is extremely weakly adjusted, and this “outrage” could end anytime. The pair may establish a foothold above the downward channel in the coming hours, triggering a new round of euro currency growth. Tomorrow, on the 5-minute TF, the levels should be considered 1.0692, 1.0737, 1.0792, 1.0857-1.0867, 1.0920-1.0933, 1.0966, 1.0989, 1.1038, 1.1070, 1.1132. If the price moves 15 points in the desired direction, the Stop Loss can be adjusted to break even. Tuesday has no significant events scheduled in the United States. Even though it is possible to observe only two speeches of Fed members in the evening, novice traders will have left the market by that time. The European Union will release a report on retail sales in the morning, but we do not anticipate a significant market reaction.
1) The signal’s intensity is calculated based on the time it took to generate the signal (rebound or overcome the level). Less time was required, and the stronger the signal.
2) If two or more trades were opened near a particular level based on false signals, subsequent signals from this level should be disregarded.
3) In a flat, any pair may generate numerous false signals or none at all. In any event, it is best to cease trading at the first sign of a flat.
4) Trade transactions are initiated between the beginning of the European session and the middle of the American session when they must all be manually closed.
5) Signals from the MACD indicator can only be traded on a 30-minute time frame (TF) if there is high volatility and a trend is validated by a trend line or trend channel.
6) If two levels are too close (between 5 and 15 points), they should be regarded as a support or resistance area.
What’s on the charts: The price support and resistance levels are entry points for purchases and sales. Take Profit levels may be positioned nearby.
Red lines are channels or lines that depict the present trend and indicate the optimal trading direction.
The MACD indicator (14, 22,3) consists of a histogram and a signal line; it is a supplementary indicator that can also serve as a signal source.
Important speeches and reports (which are always included in the news calendar) can significantly impact the movement of a currency pair. To avoid a sharp price reversal against the prior trend, you should trade cautiously or exit the market during their exit.
Beginners in forex trading must remember that only some transactions can be profitable. The key to long-term success in trading is developing a distinct strategy and effective money management.
The material has been provided by InstaForex Company – www.instaforex.com
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