(19/07) EUR/USD Analysis and Forecast
Analysis
After a slow day following the EUR/USD in terms of volatility, there has been a change in the day-to-day trade of the market, with today illustrating a downward slope. Following the crossover strategy that I had posted earlier, only one opportunity had presented itself in the earlier hours of the day at roughly just after midnight.
The forecast that I had posted yesterday would have definitely yielded profits as it was predicted to go short/enter a sell position. The chart below indicates that the market is still in a downward trend, but may experience periods of retaliation.
The graph above indicates the general movement that we have witnessed over the last few days. As demonstrated, the general trend of the market has been positive as the EUR has become increasingly stronger however, today experienced the opposite.
This graph above is a more focused view of how the market moved today. As you can see, there was not a lot of volatility , due to a lack of high-impact events. As demonstrated above and explained in my previous crossover-strategy article, an opportunity to sell did arise roughly at around midnight, where the EMA(5) had crossed EMA(10) from the top, with the RSI supporting the possibility of the position.
Forecast
I personally do not expect the strength of the EUR opposed to USD to weaken significantly. Over the next few days, we may see a positive retaliation which may return the positive trend that we had seen over the last few days.
Following the crossover strategy that I had posted earlier on, an opportunity for a strong trade may arise, where EMA(5) would cross EMA(10) from below, with the RSI also looking to head upwards towards the 50 mark. More information on this successful and tested system can be found on my page.
Disclaimer: The forecast above is of my opinion and should not be used as a firm indicator to act on the market, but as an insight and thorough analysis of the general movement and trend of the currency pair discussed above.