EUR/USD trading talks January 09
Hello in the new trading year.
I’ll start it with an analysis of the Euro/Dollar pair, which had a very interesting behaviour over the past 2 weeks.
I ended a series of analytics in 2022 when the Euro/Dollar was moving in a horizontal correction of an uptrend. At the same time, I mentioned the high probability of breaking the uptrend and reaching the levels of four-hours EMA 100 (with subsequent breakout) and EMA 200. This scenario was justified and now it is clear that the Euro/Dollar fell to 1.04820, which is below EMA 200, but soon a rather sharp impulse began up, reaching 1.07500.
As I mentioned earlier, the 1.07900 level will be a strong resistance and probably the highest possible current upside point, but only if 1.07500 is passed in the near future.
Breaking through 1.07900 will open the prospects for growth to the weekly EMA 100 at 1.08600 and further 1.09300, historical resistance.
However, the MACD divergence on the daily chart, which continues to make one doubt that the market is capable of long-term growth now, and therefore, if the signal line is not crossed on the daily MACD during the current growth, then the probability of growth will decrease significantly and the scenario of falling to at least 1.04820 will become relevant again.
I will wait for a more confident signal of growth (on breaking through 1.07500 and further growth to 1.07900, which will be a marker level for growth to 1.08600), or if the Euro/Dollar starts to fall now, then I would set the level of 1.07000 as a strong support.
