19.11.202111:05 Forex Analysis & Reviews: Analysis and trading tips for EUR/USD on November 19

Analysis of transactions in the EUR / USD pair

There was a signal to buy in EUR / USD, but there was no increase in the morning despite the MACD line moving above zero. The quote rose only on the signal, and the movement was more than 40 pips.

The lack of statistics yesterday, as well as the statements of ECB board member Fabio Panetta, played on the side of euro bulls. But today the situation will not be the same as traders should pay attention to the PPI data in Germany and current account balance of the ECB. The two could provoke another rise in EUR / USD if there are improvements in their figures.

ECB chief Christine Lagarde will also speak, but the contents may be similar to her previous statements. Following this will be statements from Fed members Christopher Waller and Richard Clarida.

For long positions:

Buy euro when the quote reaches 1.1365 (green line on the chart) and take profit at the price of 1.1395. Growth will be observed if the Euro area reports very strong statistics and if the ECB says hawkish policy statements.

Before buying, make sure that the MACD line is above zero, or is starting to rise from it. It is also possible to buy at 1.1345, but the MACD line should be in the oversold area, as only by that will the market reverse to 1.1365 and 1.1395.

For short positions:

Sell euro when the quote reaches 1.1345 (red line on the chart) and take profit at the price of 1.1315. Failure to hit new daily highs will lead to a decline, as will hawkish statements from Fed representatives.

Before selling, make sure that the MACD line is below zero, or is starting to move down from it. Euro could also be sold at 1.1365, but the MACD line should be in the overbought area, as only by that will the market reverse to 1.1345 and 1.1315.

What's on the chart:

The thin green line is the key level at which you can place long positions in the EUR/USD pair.

The thick green line is the target price, since the quote is unlikely to move above this level.

The thin red line is the level at which you can place short positions in the EUR/USD pair.

The thick red line is the target price, since the quote is unlikely to move below this level.

MACD line - when entering the market, it is important to be guided by the overbought and oversold zones.

Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.

And remember that for successful trading, you need to have a clear trading plan. Spontaneous trading decisions based on the current market situation is an inherently losing strategy for an intraday trader.