Forex Blog

One of my site’s visitors asked me abouth the MetaTrader 4 indicator called “Float“. So I’ve decided to find this one and add it to the MT4 indicators list I maintain. Now everyone can download this interesting indicator and try to use it in Forex trading. It is designed to detect big trend changes and the current trend ‘exhaustion level’. As the bonus it also shows the Fibonacci levels on the main chart window to help the traders to determine good support and resistance levels. It would be fair to say that this indicator comes from StrategyBuilderFX forum’s members and is currently no longer updated.

EUR/USD reached its one month minimum level today during a fast dollar rally that has been influenced strongly by the yesterday’s FOMC statements. Is it a bull trend break, or just a small correction before the new heights? The answer will lie in the next 2 weeks - the next one can be ranging, while the second - bearish, which will show Forex traders a new medium term trend for EUR/USD, bullish weeks will probably return EUR/USD back to bulls.

Euro is floating in a rather tight range since it hit its new long term high at 1.3688 on 04/27. The corridor for EUR/USD seems to be established between 1.3670 and 1.3590 levels. Even poor fundamental data seen on Monday hasn’t provided any help for Euro in breaking the new record. Possible reasons for this I see in two factors. First - French elections, although their outcome is known with almost no doubts, this factor still possesses some threat to European currency. Second - technical resistances - current EUR/USD rate is near several resistance levels (from long term highs to various waves ends), while weekly RSI is showing an overbought condition. We’ll have to wait for the next week to see if Euro is still able to rally and break new heights.