28.09.202210:06 Forex Analysis & Reviews: Analysis and trading tips for EUR/USD on September 28

Analysis of transactions in the EUR / USD pair

The price test of 0.9634 happened when the MACD line was just starting to move below zero, which was a good signal to sell. It led to a decrease of about 30 pips, but immediately after that pressure subsided. No other signals appeared for the rest of the day.

Euro fell on Tuesday as the ECB continues to be hawkish on monetary policy, which is quite alarming because it is likely to harm the economy in the current conditions. US data on consumer confidence also led to a decline as the strong numbers fueled growth to dollar.

A number of speeches are scheduled to happen today, but it is unlikely to contain something new and interesting. Thus, will pay attention to the markets in the afternoon, which are about the foreign trade balance and volume of pending home sales in the US. Fed members Raphael Bostic and Jerome Powell will also speak, and their statements will help dollar cope with any problems.

For long positions:

Buy euro when the quote reaches 0.9590 (green line on the chart) and take profit at the price of 0.9648. However, growth is unlikely, especially if Germany reports weak economic statistics and Eurpean politicians say disappointing statements.

Take note that when buying, the MACD line should be above zero or is starting to rise from it. Euro can also be bought at 0.9554, but the MACD line should be in the oversold area as only by that will the market reverse to 0.9590 and 0.9648.

For short positions:

Sell euro when the quote reaches 0.9554 (red line on the chart) and take profit at the price of 0.9516. Pressure may return after the speeches of ECB and Fed representatives.

Take note that when selling, the MACD line should be below zero or is starting to move down from it. Euro can be sold at 0.9590, but the MACD line should be in the overbought area as only by that will the market reverse to 0.9554 and 0.9516.

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 decision based on the current market situation is an inherently losing strategy for an intraday trader.