Euro vs Dollar - Daily Candlestick Chart 1st April 2009

Euro vs Dollar - Daily Candlestick Chart 1st April 2009

With the G20 summit overshadowing all markets trading currency is also proving to be challenging at the moment despite all the usual fundamental news on the economic calendar, and this situation is likely to continue until Thursday evening with the conclusion of this event.    Many currency pairs and markets are currently trading in a sideways consolidation and are waiting to react to statements and any discord.  From a technical point of view yesterday’s candle closed below both the 9 and 14 day moving averages and more significantly bounced off the latter of these two suggesting that the euro vs dollar is still trading with a bearish tone, closing the day with a long upper wick, suggesting that we may see a move lower in trading today.  If so we could also see the 9 and 14 day moving averages cross which could indicate a test of support in the 1.2950 region.   I have covered all the fundamental news items pertinent to the euro dollar on the euro to dollar site.

Although trading are very tight today you could possibly attempt small short positions My trading suggestion for today is to attempt small short positions using the 15 min or 30 min charts to identify your entry and exit points, opening any new trades on significant up bars in these timescales.  My preferred candles to enter such trades would be a shooting star, a long legged doji or an evening star three bar reversal pattern.  All of these should provide a higher than average probability of success and I would suggest that any stop loss is placed above the open of today.

In the meantime you can keep up to date with all the latest currency news, live currency charts and fundamental news by simply following the appropriate links, and if you are looking for a good ECN broker then simply follow the link here.