FX.co ★ Technical analysis of EUR/USD for December 5, 2014

Trading recommendations:

• According to the previous events, the EUR/USD pair has still been trapped between the level of 1.2315 and 1.2440.
• Strong resistance will be formed at the level of 1.2478 (61.8% Fibonacci retracement levels) providing a clear signal for sell deals with the targets at 1.1403 and 1.1317.
• Stop-loss is to be placed above 1.1480.
• Strong support will be formed at the level of 1.2283 providing a clear signal for buy deals with the targets seen at the 1.2390 and 1.2441 levels.
• Stop-loss is to be placed below the level of 1.2283. This level represents the double bottom on the H1 chart.

Observations:

• The double top will be set at the level of 1.2506 and the double bottom has already been set at the mark of 1.2283.
• The value of 61.8% Fibonacci retracement levels is 1.2478 (for confirming the bearish market).
• We expect a range of 124 pips today.
• But it should be noted that the risk of 80 pips must make a profit of 120 pips.
• Volatility: 246.79.