A comprehensive analysis of the EUR/USD with 04.06.2018 for 08.06.2018
In this comprehensive review, we will look at the main fundamental and technical factors that will affect the movement of EURUSD.
During the previous trading week, from May 28 to June 1, the Euro traded in different directions:
In early June, several important government decisions are expected, within the framework of the "trade war" between the US and China, which has been lasting for more than the first month. It is possible to predict a significant volatility, and therefore the opportunity to make a good profit.
The long-term trend of EURUSD is bearish, since 2008.
The medium-term bullish trend (the entire 2017 currency pair was going up) seems to be slowly turning to bearish:
Option № 1 - continuation of the bullish trend
The short-term EURUSD trend is bullish, the price has broken through several daily highs in a row. Perhaps the trend will continue in favor of this option says fall "Alligator" on the H4 chart open up. The most powerful bearish trend, for the last two months in a row (when the price fell from 1.25000 to 1.15000) forever lasts can not, and seems to be replaced by a bullish correction.
Option № 2 - turn to bearish trend
In favor of this option, we note that the trend is still bearish on the higher time frames (weekly and above). In April and may, prices went down at a very sharp angle, almost steeply, this indicates the strength of the trend. A powerful price movement rarely turns so fast (in a week), as a rule, it takes more time.
Option № 3 – flat
This option is not excluded, we must be ready for it too. If there are no significant (confirming each other) trading signals to buy (sell) –we remain outside the market, waiting for a favorable moment. Unnecessary movements are much more dangerous for your trading account than the lack of open positions.
The key events of the economic calendar this week include the following:
Tuesday 5 June
-ECB President Draghi's Speech
-JOLTS Job Openings (USA)
-ISM Non-Manufacturing PMI (USA)
Wednesday 6 June
-Trade Balance (USA)
Thursday 7 June
-Gross Domestic Product (European Union)
-Initial Jobless Claims (USA)
Before the news-be prepared for powerful price fluctuations. We try to "keep abreast" of the market, follow our daily reviews.
Sincerely, Sergey Ryazantsev - financial analyst of brokerage company AMEGA