FX.co ★ Technical analysis and trading recommendation for EUR/USD for April 17, 2015

Weak US economic data shifted the traders' attention towards the euro, which was beaten very hard. The UK is slowly approaching an election. As we knew, the pound has been was depressed ahead of election. This factor helped the euro to bargain hunting. The euro was trading higher against USD. This week's US data puts USD under pressure. The US currency moved down from 100.00. The pair gains for 3 consecutive days. At yesterday's session, the pair managed to breach the 20Dsma, but closed below that at the end of the day. Today, traders eye on the final CPI and core CPI. The Core CPI was improved to 0.7%. The resistance is seen at 1.0815,20Dsma and 1.0890 the 61.8fib extension.

The one-hour and four-hour time frames shifted to buying. Higher lows and higher highs are developing in the one-hour chart. The pair managed to close above the previous swing low at 1.0713 in the four-hour chart. These are the factors supported bulls. The intraday resistance is seen at the fib level of 61.8 1.0840 and 1.0890 (multi-hour high). The pair can stretch up to 1.0930. The big distribution pattern has been formed at 1.1055. We will re-analyze the trend in case the price closes above 1.1055. The double bottom is likely to be placed at 1.0520 and 1.0532. Higher highs and higher lows are forming in the H1 chart. Eventually, the positional view still favors bears. The intraday support is found at 1.0710 34hrsma and swing low. Negative divergence is developing in the hourly chart. We expect mild downticks from here on. Hourly-resistance zone is seen between 1.0804 and 1.0830. We recommend buying above 1.0830, 50pips.

Safe selling- below 1.0700 with targets at 1.0680, 1.0660, and 1.0620.

Risk takers- Selling below 1.0745 with targets at 1.0715, 1.0685, 1.0660 and 1.0620.

Buying above 1.0830 with targets at 1.0885