20.11.201809:18 Forex Analysis & Reviews: EUR/USD: plan for the European session on November 20. The decision of the European Commission may limit the growth of the euro

To open long positions for EURUSD, it is required:

The lack of important fundamental statistics pushes the euro upwards, but on many indicators the pair is quite overbought. I do not recommend to hurry with buying. A break with a consolidation above 1.1456 will be a signal to open long positions in order to update the highs around 1.1485 and 1.1516, where it is best to take profits. In case the EUR/USD declines in the first half of the day, it is best to consider long positions after a false breakdown around 1.1426 or to rebound from a large low of 1.1393.

To open short positions for EURUSD, it is required:

Bears can show themselves after updating the high in the resistance area of 1.1485 and 1.1516, however, the main task for the first half of the day will be to keep the pair below 1.1456. The formation of a false breakout on it will be a signal to sell the euro with a decline to the support of 1.1426 and 1.1393, where I recommend taking profits. It should be noted that the MACD indicator continues to form a divergence, which can also limit the upward potential of the euro in the short term, which will lead to a downward correction in the EUR/USD.

Indicator signals:

Moving averages

Trading is conducted above the 30-day and 50-day moving average, which keeps the upward trend in the pair.

Bollinger Bands

The upper limit of the Bollinger Bands indicator, located around 1.1466, may limit the upward potential in the euro, and when it is tested, I recommend selling the euro for a rebound. In case the euro declines, the lower limit of the indicator in the area of 1.1426 will be a good level for profit taking on short positions.

Indicator description

• Moving Average (average sliding) 50 days - yellow
• Moving Average (average sliding) 30 days - green
• MACD: fast EMA 12, slow EMA 26, SMA 9
• Bollinger Bands 20