Analytics and trading signals for beginners. How to trade EUR/USD on November 17? Getting ready for Tuesday session

Trading 16 Nov 2020 Commentaire »

Hourly chart of the EUR/USD pair

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The EUR/USD currency pair sharply corrected on Monday, but it was thanks to this correction that a new upward trend line appeared, and this particular trend is visible to novice traders and will also signal the moment when it will be broken. In general, it is much more convenient to trade any pair and instrument when there is a trend line or channel. After the price settled above the downward trend line, traders were already advised to consider options for buy positions. In principle, today's upward movement lasted only until about lunch. Then the price began to fall, which the MACD indicator quickly responded to by turning down. However, a couple of hours ago, the MACD indicator turned up again, which together with a new trend line and a rebound from it gives a good buy signal. As before, we expect an upward movement no further than the upper limit of the 1.17-1.19 horizontal channel, in which the euro/dollar pair has been trading for three months.

Novice traders had nothing to pay attention to on Monday. This happens from time to time. However, we already expected that there will hardly be active trading and strong movements in the pair. Not a single report nor an important event during the day. Even the speech of the head of the European Central Bank Christine Lagarde in no way influenced the movement of the pair. Thus, traders will have to wait for new information, which may come at any time and is unplanned. Fortunately, a trend line has now appeared, which greatly facilitates the process of analysis and forecasting.

Lagarde is set to speak again on Tuesday. However, most likely, it will also not be interesting, so there will be no reaction to it, just like it was to today's speech or Friday's speech. The US is set to release its data for October retail sales, but the actual change for this month must be very different from the forecast in order for the markets to react to it. In recent months, traders have often ignored macroeconomic statistics, paying attention only to the most important reports like inflation or GDP. And even then not always. Thus, it is highly likely that tomorrow's fundamental background will not affect the course of trading in any way. Perhaps some new information will come from Donald Trump, really important information, but now there is very little chance of that.

Possible scenarios for November 17:

1) Long positions are now relevant since traders managed to take the pair above the downward trend line, and then an upward trend line appeared. The growth potential of the euro, as always, is limited by the 1.1903 level, however, you can manage to get a profit even before this level. The MACD indicator has already produced a new buy signal, therefore you are advised to trade up while aiming for 1.1861 and 1.1886.

2) Trading for a fall at this time is irrelevant, since there is a pronounced upward trend. Thus, novice traders are advised to wait for the eloquent completion of the upward trend in order to have a reason to open short positions. Namely, the price should settle below the trend line. In this case, open short positions while aiming for 1.1810 and 1.1785.

On the chart:

Support and Resistance Levels are the Levels that serve as targets when buying or selling the pair. You can place Take Profit near these levels.

Red lines are the channels or trend lines that display the current trend and show in which direction it is better to trade now.

Up/down arrows show where you should sell or buy after reaching or breaking through particular levels.

The MACD indicator (14,22,3) consists of a histogram and a signal line. When they cross, this is a signal to enter the market. It is recommended to use this indicator in combination with trend lines (channels and trend lines).

Important announcements and economic reports that you can always find in the news calendar can seriously influence the trajectory of a currency pair. Therefore, at the time of their release, we recommended trading as carefully as possible or exit the market in order to avoid a sharp price reversal.

Beginners on Forex should remember that not every single trade has to be profitable. The development of a clear strategy and money management are the key to success in trading over a long period of time.

The material has been provided by InstaForex Company - www.instaforex.com

*Canadian Manufacturing Sales Rebounded In September, Rising 1.5%

Trading 16 Nov 2020 Commentaire »

Canadian Manufacturing Sales Rebounded In September, Rising 1.5%


The material has been provided by InstaForex Company - www.instaforex.com

New York Manufacturing Index Unexpectedly Drops To 6.3 In November

Trading 16 Nov 2020 Commentaire »

New York manufacturing activity unexpectedly expanded at a slower rate in the month of November, according to a report released by the Federal Reserve Bank of New York on Monday.

The New York Fed said its general business conditions index fell to 6.3 in November from 10.5 in October. While a positive reading still indicates growth in regional manufacturing activity, economists had expected the index to rise to 13.5.

Looking ahead, the index for future business conditions held steady at 33.9, suggesting that firms remained optimistic about future conditions.


The material has been provided by InstaForex Company - www.instaforex.com

*New York Manufacturing Index Drops To 6.3 In November

Trading 16 Nov 2020 Commentaire »

New York Manufacturing Index Drops To 6.3 In November


The material has been provided by InstaForex Company - www.instaforex.com

German Economic Recovery Unlikely To Continue In Q4: Bundesbank

Trading 16 Nov 2020 Commentaire »

The German economy rebounded in the summer but it is unlikely to continue in the fourth quarter due to the recent resurgence of the pandemic, Bundesbank said in its monthly report on Monday.

Despite the very strong growth, overall economic performance in the third quarter was still 4 percent below the pre-crisis level of the final quarter of 2019.

The experts assessed that the catching-up movement will not continue in the final quarter of 2020 for the time being due to the recent resurgence of the pandemic in Germany and in neighboring European countries, as well as the additional containment measures , the central bank said.

Nonetheless, as the measures restricted economic life far less than in March and April, a similarly severe slump as in spring is not very likely.

Moreover, the bank noted that the international production conditions have so far hardly been affected despite the very high number of new infections throughout Europe.


The material has been provided by InstaForex Company - www.instaforex.com

November 16, 2020 : GBP/USD Intraday technical analysis and trade recommendations.

Trading 16 Nov 2020 Commentaire »

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The price zone around the previous channel's upper limit around 1.3100-1.3150 constituted an Intraday Key-Zone to offer temporary bearish pressure on the GBPUSD Pair.

However, Bullish Persistence above the mentioned price zone was supposed to allow bullish pullback to pursue towards 1.3400 as a final projection target for the suggested bullish pattern.

However, the GBP/USD pair failed to do so, Instead, another bearish movement was targeting the price level of 1.2840 where bullish SUPPORT existed allowing another bullish movement initially towards 1.3000 which failed to maintain sufficient bearish momentum.

That's why, the recent bullish breakout above 1.3000 has enabled further bullish advancement towards 1.3250-1.3270 where the upper limit of the current movement channel came to meet the GBP/USDpair.

Upon any upcoming bullish pullback, price action should be watched around the price levels of (1.3250-1.3270) for signs of bearish pressure as a valid SELL Entry can be offered.

Initial bearish target is located at 1.3000. While S/L should be placed above 1.3300.

The material has been provided by InstaForex Company - www.instaforex.com

November 16, 2020 : EUR/USD Intraday technical analysis and trade recommendations.

Trading 16 Nov 2020 Commentaire »

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Intraday traders should have noticed the recent bearish closure below 1.1700. This indicated bearish domination for the market on the short-term.

However, the EURUSD pair has failed to maintain sufficient bearish momentum below 1.1625 (38% Fibonacci Level). Instead, another bullish breakout was being demonstrated towards 1.1870 which corresponds to 76% Fibonacci Level.

As mentioned in previous articles, the price zone of 1.1870-1.1900 stood as a solid SUPPLY Zone corresponding to the backside of the broken channel.

Moreover, the recent bearish H4 candlestick closure below 1.1770 was mentioned in previous articles to indicate a valid short-term SELL Signal. All bearish targets were already reached at 1.1700 and 1.1630 where the current bullish recovery was initiated.

The recent bullish pullback towards the price zone of 1.1870-1.1900 was supposed to be considered for signs of bearish rejection and another valid SELL Entry. S/L should be placed just above 1.1950.

Bearish closure and persistence below 1.1777 (61.8% Fibonacci Level) is needed to enhance further bearish decline at least towards 1.1630.

Otherwise, another bullish pullback towards 1.1870-1.1900 shouldn't be excluded.

The material has been provided by InstaForex Company - www.instaforex.com

Dow Jones : le vaccin de Moderna propulse l’indice vers les 30000 points

Trading 16 Nov 2020 Commentaire »
Les annonces de Moderna sur son vaccin alimente la hausse sur l’indice américain.

Dow Jones : le vaccin de Moderna propulse l’indice vers les 30 000 points

Trading 16 Nov 2020 Commentaire »
Les annonces de Moderna sur son vaccin alimente la hausse sur l’indice américain.

November 16, 2020 : EUR/USD daily technical review and trade recommendations.

Trading 16 Nov 2020 Commentaire »

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The price zone around 1.1880-1.1900 constituted a KEY Price-Zone as it corresponded to the backside of the depicted broken ascending channel where significant bearish pressure and a reversal Head & Shoulders pattern were demonstrated.

Two opportunities for SELL Entries were offered upon the recent upside movement towards 1.1880-1.1900. All target levels were achieved. EXIT LEVEL was reached around 1.1720.

Early signs of bullish reversal were demonstrated around the recent price levels of 1.1600.

Shortly after, the EUR/USD pair has expressed a significant BUYING Pattern after the recent upside breakout above the depicted price zone (1.1750-1.1780) was achieved.

As mentioned in the previous article, the pair has targeted the price levels around 1.1920 which exerted considerable bearish pressure bringing the pair back towards 1.1800 which constitutes a prominent KEY-Zone for the EURUSD pair.

Trade Recommendations :-

Currently, the price zone around 1.1780-1.1800 stands as a significant SUPPORT-Zone to be watched for bullish rejection and a valid BUY Position. Exit level should be placed below 1.1750.

The material has been provided by InstaForex Company - www.instaforex.com