To open long positions on EURUSD, you need:

In the first half of the day, I paid attention to the breakdown of the support of 1.0943, fixing below which was a clear signal to open short positions, which is clearly visible on the 5-minute chart, where the bears began to actively defend this level, provoking a new wave of sales. The data that came out on inflation in the Eurozone did not differ much from the forecasts of economists, so the pressure on the euro is more related to the risks of a larger slowdown in the global economy than with short-term fundamentals. At the moment, the bulls need to protect the support of 1.0897, and only the formation of a false breakout there will be a signal to buy the euro in the second half of the day. Most likely, weak data on retail sales in the US, on the contrary, will push the euro even lower, so it is best to open long positions only after updating the major support level of 1.0834. An equally important task for the bulls will be to return the resistance to 1.0943, since only in this scenario can we expect the upward trend to continue.

To open short positions on EURUSD, you need:

The bears coped with the task set in the first half of the day and quickly regained the level of 1.0943. At the moment, the pressure on the euro remains, and, most likely, the report on retail sales in the US will only strengthen the demand for the US dollar, which will lead to a further decline in the pair to a minimum of 1.0834, where I recommend fixing the profits. This month's minimum around 1.0772 will also be a longer-term target for the bears. In the scenario of an upward correction of the pair in the second half of the day, I recommend looking at short positions only after the formation of a false breakout in the resistance area of 1.0943, and you can sell the euro immediately on the rebound from the maximum of 1.0989, counting on correction of 30-40 points within the day.

Signals of indicators:

Moving averages

Trading is already below the 30 and 50 daily moving averages, which indicates a change in market sentiment.

Note: The period and prices of moving averages are considered by the author on the hourly chart H1 and differ from the general definition of the classic daily moving averages on the daily chart D1.

Bollinger Bands

In the case of an upward correction of the euro in the second half of the day, short positions can be returned to the rebound from the average border of the indicator in the area of 1.0960.

Description of indicators

• Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 50. The graph is marked in yellow.
• Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 30. The graph is marked in green.
• MACD indicator (Moving Average Convergence / Divergence - moving average convergence / divergence) Fast EMA period 12. Slow EMA period 26. SMA period 9
• Bollinger Bands (Bollinger Bands). Period 20