{"id":100711,"date":"2017-01-13T07:00:56","date_gmt":"2017-01-13T12:00:56","guid":{"rendered":"http:\/\/countingpips.com\/?p=100711"},"modified":"2017-01-13T07:00:56","modified_gmt":"2017-01-13T12:00:56","slug":"eurusd-bear-divergence-on-the-8h","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/01\/eurusd-bear-divergence-on-the-8h\/","title":{"rendered":"EUR\/USD: Bear divergence on the 8H"},"content":{"rendered":"<div id=\"inves-1831911152\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">January 13, 2017<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><strong>By\u00a0Gabriel Ojimadu, Alpari<\/strong><\/p>\n<div class=\"reviews-item__content\">\n<p><strong><em>Previous:<\/em><\/strong><\/p>\n<p>On Thursday the euro closed slightly up against the USD. The dollar was under pressure in the first half of the day, but was able to win back a large part of its losses in the second. The USD managed to head into the plus zone against the GBP after news about a planned announcement from UK PM May set for next Tuesday. She is set to speak about Brexit and this news caused a pound sell off throughout the market yesterday. Due to this, the euro\/dollar traded for a few hours at around 1.0660, from where it fell to 1.0611 by the end of the day after the growth of the euro\/pound ended.<\/p>\n<p>The number of initial unemployment benefit application in the US increased to 247k (forecasted: 255k, previous: 237k)<\/p>\n<p><strong><em>Market expectations:<\/em><\/strong><\/p>\n<p>Today is Friday: the last trading day of the week. Since the euro\/dollar has fallen below the 1.0620-1.0628 support, my forecast is for a weakening of the euro to 1.0556.<\/p>\n<p><strong><em>Day\u2019s news (GMT+3):<\/em><\/strong><\/p><div id=\"inves-3091465649\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<ul class=\"list list_type_disc\">\n<li>12:30, BoE credit financing conditions and Bank\u2019s Saunders to speak;<\/li>\n<li>16:30, US December retail sales excluding auto sales, producer price index, retail sales and base producer price index;<\/li>\n<li>17:30. US Fed\u2019s Harker to speak;<\/li>\n<li>18:00, US preliminary consumer confidence and inflation expectations data from the University of Michigan for January;<\/li>\n<li>21:00, number of drilling rigs according to Baker Hughes.<\/li>\n<\/ul>\n<p><strong><em>Technical analysis:<\/em><\/strong><\/p>\n<p><img decoding=\"async\" src=\"http:\/\/www.alpari.ru\/data\/media\/trunk\/images\/Analytics\/2017\/01\/eur_130117.png\" alt=\"\" \/><\/p>\n<p align=\"center\">Euro\/ rate on the hourly. Source: TradingView dollar<\/p>\n<p>Intraday forecast: minimum: 1.0556, maximum 1.0640, close: 1.0692.<\/p>\n<p>Yesterday\u2019s intraday formation coincided with my forecast without any amplitude fluctuations. The euro\/pound cross corrected the market.<\/p>\n<p>On Thursday the euro\u2019s strengthening finished at the U3. From 1.0685, the euro fell to 1.0604. In accordance with my forecast, I\u2019m waiting for a further weakening of the euro to the 112<sup>th<\/sup> degree at 1.0556.<\/p>\n<p>I reckon that the euro will rise from its current level of 1.0615 to 1.0637. The growth could be sharp, showing the buyers about the price\u2019s intentions to sift to 1.0685. Since the stochastic is nearing the sell zone, 1.0637 could be a bear trap for them.<\/p>\n<p>Now to why I think like I do. Yesterday the euro rate dropped with a bear divergence candle pattern. Thanks to this fall, a pinbar formed on the daily which has a bullish body. For a strong sell signal, the euro needs a bearish body. Although, bear divergence has formed on the 8H. This is a sell signal for the euro. Now the bulls have a chance to use the bounce to close long positions at 1.0637. If I\u2019m wrong, the rate will head for 1.0685 to form a double bottom because I don\u2019t see any growth passing 1.0685.<\/p>\n<div class=\"s_invisible_yes\">Source: &#8220;<a href=\"http:\/\/alpari.com\/en\/analytics\/reviews\/market_sessions\/17715_13012017\/\">EUR\/USD: Bear divergence on the 8H<\/a>&#8220;<\/div>\n<\/div>\n<div class=\"s_invisible_yes\"><\/div>\n<div class=\"s_invisible_yes\"><\/div>\n<div class=\"s_invisible_yes\"><\/div>\n<div class=\"s_invisible_yes\"><\/div>\n","protected":false},"excerpt":{"rendered":"<p>By\u00a0Gabriel Ojimadu, Alpari Previous: On Thursday the euro closed slightly up against the USD. The dollar was under pressure in the first half of the day, but was able to win back a large part of its losses in the second. The USD managed to head into the plus zone against the GBP after news [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-100711","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/100711","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=100711"}],"version-history":[{"count":1,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/100711\/revisions"}],"predecessor-version":[{"id":100712,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/100711\/revisions\/100712"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=100711"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=100711"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=100711"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}