26.06.202012:12 Forex Analysis & Reviews: EUR/USD: plan for the American session on June 26

To open long positions on EURUSD, you need:

A small upward correction of the euro in the first half of the day ended with another failure of buyers, while the bears continue to actively protect the resistance of 1.1234, below which they managed to gain a foothold yesterday. If you look at the 5-minute chart, you will see how after an unsuccessful attempt to break through the level of 1.1234, a new signal was formed to sell the euro, which I spoke about in more detail in my morning forecast. Now the task of the bulls is to prevent a major sale of the euro/dollar pair and return the pair to the resistance level of 1.1234. Only a break of the level of 1.1234 will provide the bulls with an impulse that can return the euro/dollar pair to the maximum of 1.1280, where I recommend fixing the profits. Also, the task of buyers of the euro will be to protect the support of 1.1200, where the lower border of the current ascending channel, formed at the beginning of this week, passes. But only the formation of a false breakout there will be a signal to open long positions. If there is no bull activity at this level, it is best to postpone purchases until the weekly low is updated around 1.1170, based on a correction of 20-25 points within the day.

To open short positions on EURUSD, you need:

Sellers are confidently bending their line, and have already formed a signal to sell the euro. While trading will be conducted below the level of 1.1234, you can count on a repeated decline in the euro/dollar pair to the support area of 1.1200, the breakdown of which will lead to a larger movement of the euro down to the minimum of this week of 1.1170, where I recommend fixing the profits. If the pair returns to the level of 1.1234 again in the second half of the day, and the bulls regain this range, it is best to postpone selling the euro/dollar pair until the maximum of 1.1280 is updated, based on a correction of 25-30 points within the day.

Signals of indicators:

Moving averages

Trading is conducted in the area of 30 and 50 daily moving averages, which indicates an active confrontation between buyers and sellers at current levels.

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

A break in the lower border of the indicator around 1.1205 will lead to a new wave of euro decline.

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