Ichimoku cloud indicator analysis on EURUSD for August 4th, 2023.
August 4, 2023 5:24 pm
EURUSD is trading around 1.1033. Price in the 4hour chart is showing reversal signs as EURUSD has entered inside the Kumo (cloud). This has turned short-term trend to neutral from bearish. In the 4hour chart price is now trading above the tenkan-sen (red line indicator) and the kijun-sen (yellow line indicator). They both provide short-term support at 1.0977. Bulls do not want to see price get rejected at the cloud resistance. They want to see price remain above the tenkan-sen and eventually break above the Kumo resistance at 1.1092. The Chikou span (blue line indicator) is also challenging the candlestick pattern. A break above the candlestick pattern will change the Chikou span from bearish to bullish. The tenkan-sen is also very close to crossing above the kijun-sen. This would be another sign of strength. Concluding, on Fridays we usually see profit gains and small trend reversals. This bounce in EURUSD could be profit gains from bears. This bounce can be short lived, but if bulls manage to reclaim 1.1092 then they will change trend to bullish in the 4hour chart.
The material has been provided by InstaForex Company – www.instaforex.com
EURUSD is trading around 1.1033. Price in the 4hour chart is showing reversal signs as EURUSD has entered inside the Kumo (cloud). This has turned short-term trend to neutral from bearish. In the 4hour chart price is now trading above the tenkan-sen (red line indicator) and the kijun-sen (yellow line indicator). They both provide short-term support at 1.0977. Bulls do not want to see price get rejected at the cloud resistance. They want to see price remain above the tenkan-sen and eventually break above the Kumo resistance at 1.1092. The Chikou span (blue line indicator) is also challenging the candlestick pattern. A break above the candlestick pattern will change the Chikou span from bearish to bullish. The tenkan-sen is also very close to crossing above the kijun-sen. This would be another sign of strength. Concluding, on Fridays we usually see profit gains and small trend reversals. This bounce in EURUSD could be profit gains from bears. This bounce can be short lived, but if bulls manage to reclaim 1.1092 then they will change trend to bullish in the 4hour chart.
The material has been provided by InstaForex Company – www.instaforex.com
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