13.03.202008:18 Forex Analysis & Reviews: EUR/USD: plan for the European session on March 13. ECB is expanding its asset purchase program and the euro drops. Bears are on the defensive at 1.1237

To open long positions on EURUSD, you need:

The European Central Bank's decision not to change rates slightly surprised markets, but this did not prevent the euro from sharply falling against the US dollar, which, however, was partially played out at the end of the US session. Now buyers are focused on the 1.1237 resistance, since further upward correction depends on it. Consolidating at the 1.1237 level will be a signal to buy the euro in order to return and update the highs of 1.1295 and 1.1344, where I recommend taking profits. However, a more interesting signal to open long positions will be when a false breakout forms in the support area of 1.1161. Otherwise, you can buy EUR/USD immediately on the rebound from yesterday's low of 1.1063. Today's German inflation data is unlikely to help euro buyers.

To open short positions on EURUSD, you need:

Bears will count on the formation of a false breakout in the resistance area of 1.1237 and on the rebound of the pair from the moving averages, which will be the first signal to open short positions. However, a more important task will be a breakout and consolidation below the support of 1.1161, which will strengthen the bearish momentum and lead to the return of EUR/USD to the support area of 1.1063, where I recommend taking profits. In case the pair grows above the resistance of 1.1237 after the release of German inflation data, it is best to return to short positions on the resistance test of 1.1295, or sell the euro immediately on a rebound from the high of 1.1344.

Signals of indicators:

Moving averages

Trading is carried out below 30 and 50 moving average, which saves the likelihood of further downward correction in the pair.

Bollinger bands

If the euro decreases, support will be provided by the lower boundary of the indicator in the region of 1.1110, while growth may be limited by the upper level of the indicator in the region of 1.1245.

Description of indicators

• Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 50. The graph is marked in yellow.
• Moving average (moving average determines the current trend by smoothing out volatility and noise). Period 30. The graph is marked in green.
• MACD indicator (Moving Average Convergence / Divergence - moving average convergence / divergence) Fast EMA period 12. Slow EMA period 26. SMA period 9
• Bollinger Bands (Bollinger Bands). Period 20