Analytical overview of the main currency pairs on 2017.05.24

The EUR/USD currency pair

Technical indicators of the currency pair:
Prev Open: 1.12366
Open: 1.11827
% chg. for the last day: -0.49
Day's range: 1.11702 - 1.11919
52 wk range: 1.0366 - 1.1616

Yesterday, the euro held the resistance level of 1.12600, which caused a correction movement. The EUR/USD quotes fell by more than 50 points. The key trading range is still 1.11600-1.12600. We are waiting for the press conference of the head of the ECB and the publication of the FOMC protocols.

News background on 2017.05.24:
- speech by the head of the ECB Draghi (15:45 GMT+3:00);
- Sales in the secondary housing market in the US (17:00 GMT+3:00);
- publication of the FOMC protocols (21:00 GMT+3:00).

The EUR/USD quotes have fixed between 50 MA and 200 MA, which are quite strong dynamic levels of support and resistance.

The MACD histogram is in the negative zone and continues to decline, which indicates a correction of the EUR/USD currency pair.

Stochastic Oscillator is located near the overselling zone, the %K line is above the %D line, which signals to buy EUR/USD.

Trading recommendations

Support levels: 1.11600, 1.11000
Resistance levels: 1.12600

At the moment, the technical pattern is ambiguous. We recommend you to open positions from key levels.

If the price consolidates below the support level 1.11600, you need to look for entry points to the market in order to open short positions. The immediate goal for profit taking is the round level of 1.11000.

Alternative option. If the price overcomes the resistance level 1.12600, further growth of the EUR/USD currency pair is possible. The target movement level is 1.13000.

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