17.05.201808:29 Forex Analysis & Reviews: Trading plan for EUR / USD as of 05/17/2018

The construction sector in Europe can show good results, as it is expected to accelerate its growth from 0.4% to 2.2%. Of course, such a strong growth is impressive, but the data itself does not have much weight so that the growth of construction will not lead to serious consequences. The market reaction will also be neutral to the data on the number of applications for unemployment benefits, as, with a decrease in the number of repeated applications by 10,000, the number of primary applications should increase by 4,000. The balance should decrease by 6,000, but market participants pay more attention to the number of initial applications so that the reaction will be moderate.

The euro / dollar currency pair continued its downward movement, reaching 1.1762 yesterday, but by the end of the day, it returned to the periodic value of 1.1821, which reflects the punched local minimum of May 9. In this development, from the technical point of view, we see a breakout breakdown, and thus there are two variations. The first at 1.11821, we will see stagnation, where the bears will try to regroup and return to the market, thus playing the value of 1.1821 in terms of resistance. The second variation, we all understand that there is oversold on all fronts and bulls are looking for an opportunity to return to the market. Here, in the case of fixation above 1.1855, we will open the way to the nearest point of 1,900, and there it is already necessary to watch the mood of the market.