empty
 
 
sp
Soporte
Apertura instantánea de la cuenta
Plataforma comercial
Depositar/Retirar

20.11.202409:31 Forex Analysis & Reviews: EUR/USD: Simple Trading Tips for Beginner Traders on November 20. Analysis of Yesterday's Forex Trades

Analysis of Trades and Trading Recommendations for the Euro

The test of the price level at 1.0584 occurred when the MACD indicator had moved significantly above the zero mark, limiting the pair's upward potential. For this reason, I did not buy the euro. Shortly after, a second test of 1.0584 prompted the execution of Scenario #2 for selling, as the MACD was already in the overbought zone. As a result, the pair fell by 20 pips before downward pressure on the trading instrument eased. Weak data from the U.S. housing market capped EUR/USD's downward potential in the second half of the day.

Today's market focus will be on Germany's Producer Price Index (PPI) and the Eurozone Financial Stability Report. These key reports will offer traders insights into the current state of the Eurozone economy and help formulate strategies for their investments. Analyzing this data will assist in assessing current risks and identifying opportunities for the euro's future growth. A rise in inflation and positive economic prospects for the region could provide short-term support for EUR/USD.

Additionally, the speech by European Central Bank President Christine Lagarde will be closely monitored. In her speeches, she often emphasizes the importance of a balanced monetary policy aimed at price stability and supporting economic growth in the Eurozone. Recently, she discussed the effects of inflationary processes affecting Europe and the global economy, stressing the ECB's commitment to maintaining inflation around 2% using all available tools. However, her mention of a softer monetary policy path necessary for sustainable economic growth suggests further rate cuts, which is bearish for the euro since rates will continue to fall. As for the intraday strategy, I will rely more on the implementation of scenarios No. 1 and No. 2.

Exchange Rates 20.11.2024 analysis

Buy Scenarios

Scenario #1:

Buy the euro upon reaching 1.0611 (green line on the chart), targeting a rise to 1.0663. At 1.0663, I plan to exit the market and open short positions, expecting a 30-35 pip movement in the opposite direction. A rise in the euro during the first half of the day will depend on very positive data and will only occur within the framework of a corrective upward trend. Important! Before buying, ensure that the MACD indicator is above the zero line and beginning to rise.

Scenario #2:

I will also buy the euro if there are two consecutive tests of 1.0582 while the MACD indicator is in the oversold zone. This will limit the pair's downward potential and lead to an upward market reversal. Potential targets for this movement are 1.0611 and 1.0663.

Selling Scenarios

Scenario #1:

I plan to sell the euro after the price reaches 1.0582 (red line on the chart). The target will be 1.0540, where I will exit the market and immediately open long positions, anticipating a 20-25 pip movement in the opposite direction. Pressure on the pair may return at any moment, but selling as high as possible is better. Important! Before selling, ensure that the MACD indicator is below the zero line and beginning to decline.

Scenario #2:

I also plan to sell the euro in case of two consecutive tests of 1.0611 while the MACD indicator is in the overbought zone. This will limit the pair's upward potential and lead to a downward market reversal. Expected targets for this movement are 1.0582 and 1.0540.

Exchange Rates 20.11.2024 analysis

What's on the Chart:

  • Thin green line: Entry price for buying the trading instrument.
  • Thick green line: A suggested target for Take Profit or manually locking in profits, as further growth above this level is unlikely.
  • Thin red line: Entry price for selling the trading instrument.
  • Thick red line: A suggested target for Take Profit or manually locking in profits, as further decline below this level is unlikely.
  • MACD Indicator: Critical for identifying overbought and oversold zones to guide market entry decisions.

Important Notes for Beginner Forex Traders:

  • Always approach market entry decisions cautiously.
  • Avoid trading during major news releases to sidestep volatile price swings.
  • If trading during news releases, always set stop-loss orders to minimize losses.
  • Trading without stop-loss orders or money management practices can quickly deplete your deposit, especially when using large volumes.
  • A clear trading plan, like the one outlined above, is essential for successful trading. Spontaneous trading decisions based on current market conditions are inherently disadvantageous for intraday traders.

*El análisis de mercado publicado aquí tiene la finalidad de incrementar su conocimiento, más no darle instrucciones para realizar una operación.

Jakub Novak,
Analytical expert of InstaSpot
© 2007-2024
Benefíciese de las recomendaciones de los analistas ahora mismo
Recargue su cuenta de operaciones
Abra una cuenta de operaciones

¡Los informes analíticos de InstaSpot lo mantendrá bien informado de las tendencias del mercado! Al ser un cliente de InstaSpot, se le proporciona una gran cantidad de servicios gratuitos para una operación eficiente.

¿No puede hablar ahora mismo?
Ingrese su pregunta en el chat.