FX.co ★ The EUR/USD technical analysis and trading recommendations for November 2

4-hour timeframe

Overview:
Fresh buy signal with the target at 1.4188 has been formed. The Bollinger Bands are diverging and directed upwards, indicating the beginning of new uprising movement. The signal is strong and confirmed, as the price is above the Ishimoku Cloud and the Chinkou Span has recently fixated above the price chart. The first resistance level of 1.4105 is a target for uptrend. In case this level is reached and the price fixates above it the next target will be 1.4188. Otherwise, the correction will start. At present, it can be said that the correction ended and upwards movement resumed. The critical level for the current upwards motion is the level of 1.3870 (Kidjun-Sen), bellow which the buy signal will weaken. The Chinkou Span is above the price graph, thus confirming the current buy signal. The Bollinger Bands show the beginning of the uptrend, the lines are converging and directed upwards. The MACD is ascending, thus indicating the uptrend.

Trading recommendations:
Currently, it is recommended to trade up with the target at 1.4105. The stop loss is set below 1.3870.

In addition to technical image, one should take into account the fundamental data and the time of their release.

The chart annotation:
Ishimoku indicator:
Tenkan-sen — red line
Kijun-Sen — blue line
Senkou Span A — light brown stipple line
Senkou Span B — light purple stipple line
Chinkou Span — green line
Bollinger Bands indicator:
3 yellow lines
MACD indicator:
The red line and the histogram with the white bars in the indicators window.