1 - On the daily chart, the price continues to rise confidently towards the upper Bollinger band after crossing the middle line
. The bands, however, are turning inwards and are moving towards each other, thus downplaying the pair’s rise. If we stick to this indicator only, then we should wait until the price hits the upper band. In case of the price reversal, the same will be true for the lower band.
Then, we should monitor the indicator: if both bands turn outwards as soon as the price touches one of them, this will be an indication that the price will continue to move further until it exits the range. If we take fractals, the price is approaching an upper fractal formed on October 19 and the lower on August 20. In case the quote manages to break through these levels and settles there, its next upside target will be at the fractal of September 22. The nearest downside target is at the level of October 18. It is also possible that a lower fractal will form a bit higher.
2 - The ÀÎ indicator continues to move lower in the negative zone while the price is rising in response to this exhaustion
.There are two days left until the end of the trading week. The indicator may simply have no time to cross the zero-line mark. But if it does cross the line and oscillates to the positive zone, this will confirm the continuation of the uptrend for the euro.
3 - On the 4-hour chart, the price keeps moving higher towards the upper Bollinger band
. Despite a correction, the bands were still generating a signal for growth.
At the moment, the upper band is pointing outwards, thus confirming a possible rise of the quotes.
We have the option to wait for the price to closely approach the upper band or look for entry points on smaller time frames. If we take fractals, the price is approaching the upper fractal of October 19. Its breakout will pave the way towards the fractal of September 29. For selling the pair, it is better to wait until a lower fractal form. Take this into account when planning your strategy.
4 - The ÀÎ indicator is slowly oscillating in the positive zone on the 4-hour chart by forming a green bar.
It is still not enough to be a clear signal for growth. That is why we should wait for more candlesticks on H4 to see how the indicator will behave. If it continues to rise, this can be taken as a signal confirming a further upward movement of the price.