15.11.201809:18 Forex Analysis & Reviews: EUR / USD. 15th of November. The trading system. "Regression Channels". The euro is growing due to the fixation of short trades on the pair

4-hour timeframe

Technical details:

The senior linear regression channel: direction - down.

The younger linear regression channel: direction - down.

Moving average (20; smoothed) - sideways.

CCI: 47.9592

The currency pair EUR / USD on Thursday, November 15, continues the corrective movement and can overcome the moving average line, which will mean a change of trend to ascending. Yesterday's macroeconomic reports cannot be said to have been unequivocally in favor of the euro currency. For example, US inflation showed an acceleration of up to 2.5% in October. A preliminary value of GDP in the eurozone for the third quarter was 1.7%, which is fully consistent with the forecast. Thus, it can be noted that the fundamental background was neutral. Thus, we believe that the pair is now being adjusted due to a technical factor, as well as on expectations of reaching an agreement between the EU and the UK on Brexit. By the way, it should also be noted that the euro is growing at a much lower rate than the pound sterling. This once again shows that achieving the "deal" on Brexit is of greater importance for Britain, and not for the European Union. Growth factors, except for technical, in the euro currency, now by and large do not. Problems with the budget of Italy also put some pressure on the single currency. Today in the United States, report on retail sales will be published, however, compared with the topic Brexit, it will be much less important and can be ignored by market participants. Also today in the United States, to address Fed Chairman Jerome Powell is scheduled.

Nearest support levels:

S1 - 1,1292

S2 - 1.1230

S3 - 1.1169

Nearest resistance levels:

R1 - 1.1353

R2 - 1.1414

R3 - 1.1475

Trading recommendations:

The EUR / USD currency pair continues to be adjusted. Thus, to open sell orders with a target of 1.1230, it is recommended to wait for the Heikin Ashi indicator to turn down when the price is below the moving average.

Buy positions will become relevant in small lots if the pair is fixed above the moving average with the target of 1.1414. However, the pair's upward momentum may be short-term, as there is no fundamental support for the euro.

In addition to the technical picture should also take into account the fundamental data and the time of their release.

Explanations for illustrations:

The senior linear regression channel is the blue lines of the unidirectional movement.

The junior linear regression channel is the purple lines of unidirectional movement.

CCI - blue line in the indicator window.

The moving average (20; smoothed) is the blue line on the price chart.

Murray levels - multi-colored horizontal stripes.

Heikin Ashi is an indicator that colors bars in blue or purple.