EUR/USD: Ichimoku analysis (Feb. 21)
By Tatyana Norkina, FBS analyst
Daily. For the third time this year the bulls tested levels above the $1.3700 resistance. It happened in the beginning of past week, on Monday. As a result the bulls used an opportunity to restore the currency pair to the next important level of $1.3780, which stood and made the prices turn in the opposite direction. The situation on the daily timeframe is still ambiguous: the golden cross (C) is active and the Cloud has bearish nature. The pair may decline to Tenkan-sen and Senkou Span A.
Chart. Daily EUR/USD
H4. At H4 the Cloud has a fairly wide range indicating the serious mood of the bulls. However, after forming highs the pair decreased below the short-term support lines, while Tenkan and Kijun formed a dead cross. We are now seeing a corrective decline. The nearest strong support levels are at $1.3700 and $1.3670.
Chart. H4 EUR/USD