EURUSD Forex forecast (14 — 18 May 2012)

EURUSD Forex forecast for next week: 14 — May 18, 2012, based charting forex strategies forex this site

Analyze the closing weeks of the candle, with respect to important levels of resistance for the price:

1) Candles closed confident sales, almost a week minimum.

2) The price has not closed the gap completely in a week, which I think says a priority of sales.

3) Confidence rebound from the 61.8% level, we still have not seen, although the price to the level of 76.4 is not reached and it is still possible.

4) Although the H1-H4 MACD indicator is still maturing divergence, so hang up is possible!

Now let’s take a closer look at resistance levels for the EURUSD chart prices for buying and selling.

To begin with consider the option of price signals UP and to buy + sell:

1) First of all, above the closing price of the current market we are interested in the top line of the green channel, the approach of the price for it (this is the third approach — considering the sale), the breakdown channel + it is desirable to retest and possibly as an additional signal — Fibonacci level of the last upward movement.

2) If the price goes up, then we are interested above all + possible retest sample the lower red channel line constructed from the minima of the triangle. At retest the bottom-up — sell. When you close the H4 candle and above and possibly a broken line on the retest from the top down — consider options for shopping. The immediate objective for purchases — retest the bottom line of the triangle and possible closing of the gap + brown line rising trend. With sales — retest green channel punched and possibly purple trend line.

3) The bottom line of the triangle punched — possible 2nd retest after the break and hang down, if there are additional signals (eg Fibonacci important level), if the day closes above the line of the triangle — can retest the top-down + purchase. The first level of resistance for shopping — brown line, the upper line of the triangle.

4) Brown the rising trend line — an analogue of the preceding paragraph. Only when rebound down, the first goal — the bottom line of the triangle, in case of breakdown up — the top line of the triangle.

5) Next, we are interested in how to behave when approaching the price of the top line of the triangle.

6) And at the approach to the long blue line down the channel.

Situation is described in detail in the past forex forecast EURUSD and I think it makes no sense to repeat.

If the price goes down:

First of all, we should pay attention to the fact that the H1 and H4 charts formed Divergence MACD, which may serve as an additional signal for the transactions for the purchase, as a rebound from the trend lines for limit orders, and on the retest and the breakout above the trend lines are located.

1) The price for last week, fought back from the first two times more purple trend line, given the level of divergence of MACD + cluster of Fibonacci 161.8% + 138.2%, you can try to bargain for a limit order to buy. If you enter into this type of transaction there is no desire, then if the price goes up — you can try to open a deal on the breakdown of the trend line of brown, green line of the channel — it all depends on the time of rebound rates by day of week, if he will. Profit — the top line of the green channel, and more …

Below is the purple line to buy, I would not recommend. If the price breaks through it and still testing the bottom-up, you can try to sell, but it is desirable that a retreat from the zone of accumulation of Fibonacci still have been. Profit — the bottom line of small red channel + possible level of 76.4% Fibonacci of the upward movement (1.2830).

2) The level of 76.4% Fibonacci of the upward movement (1.2830) — rebound quite possible! Especially if at this level we will have a few more signals: the level of resistance in the form of a red trend line, for example. Closing of the day below that level — I think a downward spiral continues, the next goal — 2nd additional trend line purple, the bottom line of the green channel.

3) From the same trend lines can be considered as a purchase and sale: 2nd additional trend line is purple, the bottom line of the green channel.

4) The last goal for today — the red trend line is long term — think of it must be considered buying. If a breakdown occurs and the closing of the day, but better a week, sales will continue.

Stop-loss just does not describe, but they are set for the following levels of resistance or Fibonacci levels when the price moves. Profits — similar to the following levels, following the course of price movements on the chart.

To install the template, MetaTrader 4, you must first unzip it! If you «get off» trend lines, channels on the forex market open on Monday — to tinker with their own, according to the images in this forex forecast forex and video projection!

Original: Forex forecast EURUSD (14-18 May 2012)

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