11.03.202008:29 Forex Analysis & Reviews: EUR/USD: plan for the European session on March 11. Euro weakens as ECB meeting approaches. Bears need 1.1280 level

To open long positions on EURUSD, you need:

Yesterday's data on the eurozone economy did not impress traders much, as it has long been clear that significant stimulus measures are required from the European Central Bank in order to resume growth. Most likely, this will be announced at the meeting that will be held tomorrow. For this reason, the pressure on the European currency remains, but buyers can take advantage of the pair's decline in hopes of resuming growth. The level of 1.1279, which I paid attention to yesterday in my forecast for the second half of the day, worked well, and buyers returned to the market. At the moment, the bulls will focus on the breakout and consolidation above the resistance of 1.1340, which will strengthen their positions and lead to an update of the highs of 1.1390 and 1.1422, where I recommend profit taking, since large sellers will start operating in this area. In the scenario of a further decline in EUR/USD in the first half of the day, it is best to return to long positions only on a false breakout in the support area of 1.1279, since confidence in this level is much less than yesterday, or buy the pair immediately on a rebound from the lows of 1.1239 and 1.1195.

To open short positions on EURUSD, you need:

The bears reached their target at 1.1279 and retreated from the market. At the moment, you can count on their return after forming a false breakout in the resistance area of 1.1340, but the attempt to form the upper boundary of a new downward channel will most likely be postponed until the highs of 1.1390 and 1.1422 are updated, from where you can sell the euro today immediately on a rebound. An equally important task for the bears will be to return and consolidate below the support of 1.1279, which will increase the pressure on the pair and lead to the renewal of new local lows in the area of 1.1239 and 1.1195, where I recommend taking profits. Important fundamental statistics will not be released in the first half of the day, so the entire focus will shift to the US session and the US inflation report.

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

In the morning, the downward movement can be limited in the area of the lower boundary of the indicator 1.1279, while the bears will show themselves after updating the upper level, which is now located in the 1.1290 area.

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