FBS: trade recommendation for EUR/USD
Tatiana Norkina, FBS analyst
The $1.3200 handle has become an obstacle, which hasn’t let the currency pair to make a corrective recovery. The 2-day consolidation below this level ended yesterday with the bears’ victory, and a downward trend resumed with euro breaking below the $1.3180 support. But sellers met another powerful level at $1.3160.
Ichimoku indicator. This support was formed on H4. It won’t be easy for the bears to move through this level. Indeed, Chinkou Span is the oversold zone. Therefore, soon a pullback to $1.3180 is possible.
On H1 the bearish bias has been increasing. So, Senkou Span A and B went down, and Tenkan-sen and Kijun-sen formed a Dead Cross. However, Chinkou was oversold.
Technical levels: support - $1.3130, $1.3160; resistance - $1.3180, $1.3200.
1. Sell - $1.3180; SL - $1.3200; TP1 - $1.3130.