Euro heading to parity
Tatiana Norkina, FBS analyst
Having tested the four-hour Ichimoku cloud lower border resistance and almost reached 1.1000, the rate of the major currency pair on Forex collapsed again yesterday, into the 1.0860 area. Both short-term and long-term trends on the four-hour timeframe have changed dramatically. Thus, the Tenkan and Kijun lines have formed a dead cross, and the Senkou Span A line drastic decline has led to intensifiaction of the Ichimoku cloud bearish character.
However, there is quite a strong support of 1.0840/60 at the current levels that could keep the pair from further tumbling. But a break through these levels would mean the downtrend strengthening.
Technical levels: support – 1.0840/60; resistance – 1.0920.
1. Sell — 1.0920; SL — 1.0940; TP1 — 1.0840; TP2 — 1.0770.