08.06.202308:57 Forex Analysis & Reviews: Analysis and trading tips for EUR/USD on June 8

Analysis of transactions and tips for trading EUR/USD

The test of 1.0727 on Wednesday afternoon, coinciding with the significant rise of the MACD line from zero, limited the further upward potential of the pair.

Euro fell under pressure as Germany reported weak data on its industrial output. However, buyers took this opportunity to enter the market, so the price hit new weekly highs.

1st quarter GDP data from the eurozone awaits market players today, where a downward revision could be a reason to sell euro. But if the number does not disappoint, then traders can expect another upward surge in EUR/USD.

For long positions:

Buy when euro hits 1.0719 (green line on the chart) and take profit at the price of 1.0757. Growth could after good GDP statistics from the eurozone. However, when buying, traders should make sure that the MACD line lies above zero or rises from it. Euro can also be bought after two consecutive price tests of 1.0704, but the MACD line should be in the oversold area as only by that will the market reverse to 1.0719 and 1.0757.

For short positions:

Sell when euro reaches 1.0704 (red line on the chart) and take profit at the price of 1.0672. Pressure may return amid very poor statistics from the eurozone. However, when selling, traders should make sure that the MACD line lies below zero or drops down from it. Euro can also be sold after two consecutive price tests of 1.0719, but the MACD line should be in the overbought area as only by that will the market reverse to 1.0704 and 1.0672.

What's on the chart:

Thin green line - entry price at which you can buy EUR/USD

Thick green line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further growth above this level is unlikely.

Thin red line - entry price at which you can sell EUR/USD

Thick red line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further decline below this level is unlikely.

MACD line- it is important to be guided by overbought and oversold areas when entering the market

Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.

And remember that for successful trading, you need to have a clear trading plan. Spontaneous trading decision based on the current market situation is an inherently losing strategy for an intraday trader.