EUR/USD Signal Update
Yesterday’s signals were not triggered and expired.
Today’s EUR/USD Signal
Risk 0.50%.
Entry should be made between 8am and 5pm London time today only.
Long Trade 1
Enter long with a stop buy order at a next bar break of an hourly pin or engulfing bar after a first touch and rejection of 1.3583. The trade is invalidated once an hourly bar closes below this level.
Stop loss at the local swing low.
Move the stop loss to break even when the trade is 25 pips in profit and let it run. Take 75% of the position as profit at 1.3650.
Short Trade 1
Enter short with a stop sell order at a next bar break of an hourly pin or engulfing bar after a first touch and rejection of 1.3740. The trade is invalidated once an hourly bar closes above this level.
Stop loss at the local swing high.
Move the stop loss to break even when the trade is 25 pips in profit and let it run. Take 75% of the position as profit at 1.3685.
EUR/USD Analysis
The technical picture is conflicted and stagnant, meaning this pair is giving little opportunity. We are established in both a long-term bullish channel and a shorter-term bearish channel, as can be seen in the daily chart below:
As the direction is unclear, I am looking for both long and short trades with this pair. There is support flipped to resistance above at 1.3740 and resistance flipped to support below at 1.3583.
Yesterday's FOMC statement had little impact as it was exactly what the market expected. The trend is downwards and it looks as though we may well hit the support level today:
There is no important news due today during the London session for the EUR. Concerning the USD, there is Advance GDP and Unemployment Claims at 1:30pm London time and then later Pending Home Sales at 3pm.