Scenario

Timeframe - Intraday

Recommendation - BUY STOP

Entry Point - 1.1360

Take Profit - 1.1403, 1.1456

Stop Loss - 1.1335

Key Levels - 1.0998, 1.1090, 1.1185, 1.1350, 1.1403, 1.1466

Alternative scenario

Recommendation - SELL STOP

Entry Point - 1.1080

Take Profit - 1.1008

Stop Loss - 1.1117

Key Levels - 1.0998, 1.1090, 1.1185, 1.1350, 1.1403, 1.1466

EUR/USD, D1

On the daily chart, the pair is growing towards the upper MA of Bollinger Bands. The price remains just above its moving averages that are horizontal. The RSI is growing as it failed its longer MA. The Composite is showing similar dynamics.

EUR/USD, H4

On the 4-hour chart, the pair is trading in the upper Bollinger band. The price remains above the EMA130 and EMA65 that are horizontal. The RSI turned down in the Bearish zone below the 60 mark. The Composite is trying to turn down as well.

Key levels

Support levels: 1.1185 (active trade), 1.1090 (January 2015 lows), 1.0998 (December 2015 highs).

Resistance levels: 1.1350 (local highs), 1.1403 (June highs), 1.1466 (May 2015 highs).

Trading tips

The pair bounced off its trendline and its growth is likely to continue towards May 2015 highs at 1.1466.

Open long positions from the level of 1.1360 with targets at 1.1403, 1.1456 and stop-loss at 1.1335. Validity – 1-2 days.

Short positions can be opened from the level of 1.1080 with the target at 1.1008 and stop-loss at 1.1117. Validity – 1-2 days.