07.11.2020 11:42 Analyst and trading signals for beginners. How do I trade a EUR/USD currency pair on November 9th? Analysis of Friday\’s transactions.
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07.11.2011:42 Analytics and Trading Signals for Beginners. Analysis of Friday’s transactions.
Up-to-date until 09:00 2020-11-09 UTC-00
EUR/USD pair chart time.
EUR / USD currency pair on Friday, November 6, still trading very actively and by the end of the trading day reached the upper line of the side channel 1.1700 – 1.1900, which is very fond in recent months. Of course, the movement of recent days was due only to the process of elections in the United States, as well as the continued counting of votes, not the technical picture and other factors. Therefore, the most important thing now is that the markets calm down, and the movement of the couple has become known, every day, so to speak. As for the prospects for the near future. There is still no trendline or trend channel at the disposal of novice traders. Thus, you need to start now either with important levels, or from divination on coffee grounds. It is impossible to predict where the couple will go early next week. Moreover, at the moment the name of the winner in the election has not yet been announced. The odds are maintained by both candidates, so what will be the reaction of the markets, if, for example, the wrong person wins the majority result, you can not predict again. One thing can now be said more or less confidently. If the quotes fail to beat the level of 1.1903, the decrease will begin as part of the correction. Moreover, this correction has been brewed for several days. On Friday, the US continued to count votes, but there were no final results yet. We can conclude that the fall in the US currency in recent days is due to the political turmoil that already exists and which will continue to be. We remind novice entrepreneurs that this year is a special election for president of the United States. Donald Trump is a very hideous man and will not leave his post for free. In addition, the president-in-office is constantly distinguished by unfounded statements and disincentives. On November 4, for example, Trump declared himself the winner of the election. Despite the fact that final results are not yet available. Not surprisingly, since November 5, Trump has consistently accused Biden and his team of forgery of voting. He did so until November 3. Now the whole of America is preparing for the victory of Joe Biden, who is far ahead in the polls but is also preparing for legal action because Trump is determined to revise the voting results in several states. In addition to this extremely important topic, important macroeconomic reports were published in America on Friday. The first is nonFarm Payrolls, which shows the number of new jobs created outside agriculture and is considered an extremely important indicator of the state of the labour market. The actual value was 638,000 with a forecast of 600,000. The unemployment rate was also stronger than expected, at 6.9% in October, against a forecast of 7.9%. However, these data did not help the dollar as markets were fully focused on the US election.
1) Purchases of EUR/USD pairs still matter. However, at the moment the movement is very strong, the MACD indicator does not have time to discharge to create new strong signals to buy and there is no trendline or channel. In general, clear signals are now extremely difficult to obtain, the basic background is very strong, and the trading situation for novice traders is not the most favorable. We expect a correction on Monday.
2) Trading on the decline at the moment does not matter, despite the fact that there is a new decline in quotations now more chances and probability. Theoretically, novice traders may try to work out a new sales signal with macd with targets of 1.1798 and 1.1737, but don’t forget about Stop Loss. We recommend that novice traders wait for the markets to calm down.
What’s on the chart:
Price support and resistance levels – levels that are targets when opening purchases or sales. Take Profit levels can be placed near them.
Red lines are channels or trendlines that reflect the current trend and show which way to trade better now.
Up/Down Arrows – show when you reach or overcome which obstacles should be traded on rise or down.
MACD indicator (14,22,3) is a histogram and signal line whose intersection is the market entry signal. It is recommended to use in combination with trend structures (channels, trendlines).
Important speeches and reports (always included in the news calendar) can have a very strong impact on the movement of the currency pair. Therefore, when releasing them, it is recommended to trade as accurately as possible or leave the market to avoid a sharp reversal of the price compared to the previous move.
Beginners to forex trading please note that any trade cannot be profitable. The development of a clear strategy and money management are the key to success in trading for a long period of time. This market analysis is informative and is not a transaction guide.
Respect,Analyst: Stanislav Polyanskygk InstaForex © 2007-2020