26.05.202014:43 Forex Analysis & Reviews: EUR/USD: plan for the American session on May 26 (analysis of morning deals). The EU can make concessions to the UK. The euro continues to gain strength

To open long positions on EURUSD, you need:

Buyers continued to push the euro higher amid rising optimism. If you look at the 5-minute chart, you can see how the breakout and consolidation of the euro above the resistance of 1.0928, which I paid attention to in my forecast this morning, led to the continuation of bullish momentum, supported by rumors that the EU may make concessions to the UK on the issue of trade relations. The sales that I recommended to make after the level of 1.0966 was updated also took place, but a larger downward correction could not be obtained. At the moment, new levels have been formed, which should be emphasized when making decisions in the afternoon. It is best to return to long positions after updating the level of 1.0953, provided that a false breakout is formed there or buy EUR/USD immediately for a rebound from the minimum of 1.0917, where the moving averages also pass, in the expectation of a rebound of 20-30 points within the day. While trading will be conducted above the range of 1.0953, we can expect the continued growth of the euro to the maximum of last week (1.1006), where I recommend fixing the profits.

To open short positions on EURUSD, you need:

Sellers have tried several times to return to the market, as can be seen on the 5-minute chart. However, they have not yet managed to achieve a larger downward movement. The emphasis in the afternoon will be placed on the report on the financial stability of the eurozone, as well as on the data on the consumer confidence index in the United States, where good indicators, similar to the leading consumer climate index in Germany, can lead to a partial strengthening of the US dollar against the euro. The main task of the bears for the second half of the day will be to return the pair to the support level of 1.0953, fixing under which will lead to a larger sale of EUR/USD to the area of the minimum of 1.0917, where I recommend fixing the profits, since large buyers will surely return to the market from this level. If the demand for the euro continues, then short positions in the conditions of such a strong upward trend can be counted on only after updating the maximum of 1.1006, and then only with a small bounce down of 15-20 points within the day.

Signals of indicators:

Moving averages

Trading is conducted above the 30 and 50 daily moving averages, which indicates the continuation of the bullish market.

Note: The period and prices of moving averages are considered by the author on the hourly chart H1 and differ from the general definition of the classic daily moving averages on the daily chart D1.

Bollinger Bands

In the case of a downward correction in the second half of the day, the average border of the indicator around 1.0920 will provide support.

Description of indicators

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