EUR/USD: general analysis
Yesterday the EUR/USD pair grew due to the slight weakness of the USD. The European markets were closed due to the Easter holidays, which affected the volatility and liquidity in the morning. The EUR began to grow against the USD, when the USA session opened, and the pair reached the level of 1.0670.
The traders wait for the upcoming Elections in France. Despite the fact that one of the major candidates Le Pen, who supports the tight policy, is losing her positions in the opinions pall, the major part of the electorate still didn’t make up its mind. Taking in consideration the election experience in the other countries, the objectivity of the opinion polls is doubtful, so the electing of the right wing candidate is still possible. In this scenario the Eurozone will have a hard time, as Le Pen supports the France leaving the EU.
The Presidential Elections in France are due at Sunday.
Support and resistance
On the daily chart the pair is lowering towards the strong resistance level of 1.0700. MACD is below the zero line, but is ready to cross the signal line, its volumes decreasing. Stochastic is in the neutral line, pointed upwards, giving a buy signal.
Support levels: 1.0650, 1.0590, 1.0550.
Resistance levels: 1.0700, 1.0770, 1.0830.
Buy the pair is the price is set above the level of 1.0700 with the target at 1.0770, stop loss is at 1.0670.
Open short positions below the level of 1.0650 and target at 1.0590 and 1.0550, stop loss is at 1.0680.
Implementation period: 1-2 days.
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