ddukic

EUR/USD 19/09/2012 - 4h Chart Analysis

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EUR/USD – 4 HOURS CHART

COMMENTS: The Stochastic of 14 periods is already recovering from the over-sold zone. The 50SMA is approaching from below while the U1 trend line is getting ready to act as supporting element with its outside. In addition, the brown horizontal line is still reliable and may play an important role in the evolution of the parity’s path.

SUGGESTIONS: All the suggestions made yesterday on the same time frame chart are valid. Yesterday’s trading did not change the picture much. The stop loss levels were not hit yet. The recent trading is just expressing the uncertainty of the traders although the circumstances would be favorable for a further up move of this parity.

EUR/USD 19/09/2012 - 60 minute Chart Analysis

http://fxlisting.net/images/eurusd60-19092012.jpg

EUR/USD – 60 MIN

COMMENTS: Straight away. If the parity does not succeed to pass above the 50SMA we will definitely find it, pretty soon, hovering around the 200SMA moving immediately below. Obviously it is too early since the European trading session did not start yet; nevertheless the inability of the parity to exceed the 50SMA is a sign of weakness.

SUGGESTIONS: At this time frame there is little reliability for positions of long standing time periods. The 60min chart is a good time frame for short time periods trading of positions. So, if the parity stays below the 50SMA, you stay on short positions with stop loss above the 50SMA. Vice versa, long positions must be preferred after the parity crosses from below the 50SMA with stop loss below the same SMA. The RSI of 14 periods is very sensitive and early enough indicated the swing performed during yesterday’s trading.