EUR/USD was mainly flat on Thursday, which was clearly seen on any time frame. The daily volatility of the pair was about 30 pips. So, it was a relatively calm day in the market. In terms of macroeconomic statistics, the calendar was completely empty both in the United States and the European Union. The same goes for fundamentals: ECB President Christine Lagarde's only speech, who speaks almost every day in recent weeks, could hardly trigger market jitters. Judging from all the above, the pair is likely to remain bearish on Friday. However, the quote might leave the descending channel, which would mean the end of the downtrend. Anyway, the price bounced from the upper line of this channel, generating a sell signal. A similar signal was also produced on the M5 chart.
According to the M5 chart, the quote rose by 20 pips from its low to its high during the European and North American sessions. Nevertheless, it managed to form a sell signal within the day. As it was not a false signal, traders did not incur losses. It is about a bounce from 1.1231 at the beginning of the North American session. Short positions opened there brought a 15 pips profit. Yet, the price failed to test the nearer target and trades were to be closed manually in the evening. No more signals were generated that day.
On the M30 chart, a clear downtrend is seen. In other words, the pair is likely to extend its downward movement. So, short positions could be opened until consolidation above the channel. On the M5 chart, the key levels on November 26 are 1.1192, 1.1231, 1.1259 – 1.1264. There are simply no other levels below because the price has not been there for about a year. A Take-profit order is to be set at a distance of 30-40 pips. A Stop-loss order is to be placed at the breakeven point when the quote passes 15 points in the required direction. On the M5 chart, the target is seen at the nearest level if it is not located too close or too far. Otherwise, you should take it from there. On Friday, ECB's Christine Lagarde will again deliver a speech and this is going to be the only event to attract market participants' attention. No important events are scheduled in the US. For that reason, the pair is not expected to show high volatility or any sharp movement on Friday.
