EUR/USD Forex Signal - 13 October 2016

EUR/USD Signal Update

Last Tuesday’s signals were not triggered as there was no bullish price action at 1.1120.

Today’s EUR/USD Signals

Risk 0.75%.

Trades must be entered before 5pm London time today only.

 

Long Trades

  • Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.0961 or 1.0900.

  • Put the stop loss 1 pip below the local swing low.

  • Adjust the stop loss to break even once the trade is 20 pips in profit.

  • Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to ride.

 

Short Trades

  • Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1049 or 1.1104.

  • Put the stop loss 1 pip above the local swing high.

  • Adjust the stop loss to break even once the trade is 20 pips in profit.

  • Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to ride.

EUR/USD Analysis

The increasing bearish bias I have been speaking of over the past week or so has become more pronounced, as the price breaks down past a couple of key support levels, and looks to be flipping them to new resistance.

There is minor psychological support at 1.1000, but the next key support level is at 1.0961.

If the price does not recover quickly, we could be beginning a new long-term bearish trend. Watch out for whether 1.1049 holds as resistance.EURUSD

There is nothing due today regarding the EUR. Concerning the USD, there will be a release of Unemployment Claims data at 1:30pm London time, followed by Crude Oil Inventories at 4pm.

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.