28.02.202013:53 Forex Analysis & Reviews: EUR/USD: plans for US session on February 28. EUR gains ground against USD. Target of 1.1046 achieved

To open long positions on EUR/USD, you need:

In the first half of the day, I drew attention to the breakout of the 1.1002 resistance level and the continued growth towards the area of the 1.1046 high, from where I recommended opening short positions. Italy's weak data on inflation and GDP was offset by positive German labor market statistics, which enabled the euro to extend gains. Now there is a correction in the market. Bulls need to protect the support level of 1.1014 where a false breakout will serve as a signal to open long positions. Therefore, the euro/dollar pair is expected to return to the resistance area of 1.1046 and then to the high of 1.1067, where I recommend locking in profits. If the pair becomes less attractive for buyers, bulls will be able to close their long positions further. At the end of the month, after the pair's rapid rally from the low of 1.0780, I recommend you hold off long positions until the price reaches the area of 1.0992 or buy the euro after the price updates the support level of 1.0968.

To open short positions on EUR/USD, you need:

As expected, sellers decided not to force events but wait for the price to update the resistance level of 1.1046, from where they started to actively open short positions. At the moment, bears need to break through and consolidate below the level of 1.1014. This will drag the euro down to the lows of 1.0992 and 1.0968, where I recommend locking in profits. In addition, the divergence formed on the MACD indicator indicates sales. If the euro advances in the afternoon, it will be possible to open short positions from the level of 1.1046 only amid a false breakout or sell the pair from the high of 1.1067 with a view to make a rebound. Positive data on personal income and spending in the United States can increase the downward correction in the pair.

Signals of indicators:

Moving averages

Trading is being conducted above the 30-day and 50-day moving averages, which indicates that the euro will continue to move in an uptrend in the short term. Moving averages will also act as support.

Bollinger Bands

The downward movement may be limited by the middle of the indicator in the area of 1.1000, and you can buy the euro with a view to make a rebound from the lower border of the indicator in the area of 1.0965.

Description of indicators

• Moving Average (moving average determines the current trend by smoothing out volatility and noise). Period 50. Marked in yellow on the chart.
• Moving Average (moving average determines the current trend by smoothing out volatility and noise). Period 30. Marked in green on the chart.
• MACD Indicator (Moving Average Convergence/Divergence - moving average convergence/divergence) Fast 12-period EMA. Slow 26-period EMA. 9-period SMA
• Bollinger Bands. Period 20