Last week's results
Last week, the market consolidated within a narrow range of prices: traders who opened long positions, closed losses, and traders who sold the asset, recorded profits. As expected, a flat was formed. What to expect for us in the next 5 trading days?
Fundamental Forecast for the EUR / USD
The current week is again not rich with interesting news that could have a serious impact on the market. However, it is worth paying attention to the following news:
- The number of building permits granted for March (US, Tuesday, 14.30, GMT +2)
Small growth expected from 1.216M to 1.245M
- The consumer price index for March (Eurozone, Wednesday, 11.00, GMT +2)
Analysts do not expect changes in the index, equal to 1.5%
- Index of manufacturing activity from the Federal Reserve Bank of Philadelphia (USA, Friday, 14.30, GMT +2)
A decrease is expected from 32.8 points to 26.9
Conclusion on the fundamental forecast
In general, the economic background is more favorable for the dollar, we do not expect a sharp strengthening of the American currency after the release of statistics, however, we do not expect a trend change either
Technical Forecast for the EUR / USD
The currency pair EUR / USD is consolidating in a narrow range and this week analysts expect a further fall. This is signaled by the following indicators:
- Price below 161 MA
- The price pushed off from 423 MA and 261 MA
Conclusion on technical forecast
We expect a continuation of the downtrend, we can actively sell after the breakthrough of the support level 1.05628, which is located below the weekly minimum.
- Bull Market: 1.06908
- Bear market: 1.05628
Recommendations for the trading week
The next few days can be calm and show a steady downward trend, than traders who prefer trading in a trend can use. By the way, we have prepared a strategy and would like to share it with you. You can read more about how to trade on the trend here.
Broker review update
We have prepared a small review of the broker of binary options 24Option, which has a free demo account. This review will help you to know the pros and cons of this broker, and if you have experience of trading with him, then share your opinion.