Technical setup bearish for EURUSD despite positive data
Technical Analysis Summary EUR/USD: Sell
| Indicator | Value | Signal |
| RSI | Neutral | |
| MACD | Sell | |
| Donchian Channel | Neutral | |
| MA(200) | Sell | |
| Fractals | Sell | |
| Parabolic SAR | Sell |
Chart Analysis
On 1-hour timeframe EURUSD: H1 is testing the 200-period moving average MA(200) which is rising itself. We believe the bearish momentum will continue after the price breaches below the lower bound of the Donchian channel at 1.1227. A level below this can be used as an entry point for placing a pending order to sell. The stop loss can be placed above 1.1319. After placing the order, the stop loss is to be moved to the next fractal high, following Parabolic signals. Thus, we are changing the expected profit/loss ratio to the breakeven point. If the price meets the stop loss level without reaching the order, we recommend cancelling the order: the market has undergone internal changes which were not taken into account.
Fundamental Analysis of -
Euro-zone industrial production rose more than expected in January. Will the EURUSD continue retreating?
Euro-zone industrial production rose 2.3% over month in January after 1.8% decline in December, when a 1.4% growth was forecast. This is bullish for EURUSD. However, global equity markets are falling with uncertain economic prospects as coronavirus outbreak spreads globally. And technical setup is bearish ahead of ECB policy meeting where more monetary stimulus measures are expected to be announced.