EUR/USD Signal- April 29, 2014

EUR/USD Signal Update

Yesterday’s signals expired without being triggered.

Today’s EUR/USD Signals

Risk 0.75%

Entries may be made between 8am and 5pm London time today only.

Long Trade 1

Enter long at the first touch of 1.3751.

Place the stop loss at 1.3711.

Move the stop loss to break even when the price reaches 1.3783.

Remove 50% of the position as profit at 1.3816 and leave the remainder of the position to run.

Short Trade 1

Enter short at the first touch of 1.3955.

Place the stop loss at 1.3987.

Move the stop loss to break even when the price reaches 1.3908.

Remove 50% of the position as profit at 1.3908 and leave the remainder of the position to run.

EUR/USD Analysis

Yesterday printed a fairly wide-ranging bullish doji, after the price spiked up around the London open and then spent the rest of the session falling off after it turned around fairly quickly. Overnight we have been rising and we see a slight but definite bullish bias revealed through the recent action of this pair.

The old gap from two weeks ago at around 1.3860 did more or less hold but quite weakly, so I am removing that a significant resistance zone. There is now no flipped resistance above us before 1.3955, which should hold as it is some distance away, and confluent with both a long-term trend line and a key 50% Fibonacci level. It is also close to today’s GMT R3 pivot point.

Below us we have two trend lines converging a little above the 1.3750 level. This would be a good area for a long trade if we were to fall down there today.

My bias is bullish but I am comfortable going either long or short with touch trades at either of the key levels that I mentioned. There is some news due today but probably nothing that will be dramatic. As I mentioned yesterday, things are often pretty quiet during the week leading up to the non-farm payrolls data, and this week is one of those weeks, so it should not be surprising if neither of these levels are hit today.

EURUSD Signal 42914

There is no high-impact news due today for the EUR, although towards the end of the day a picture of the German Preliminary CPI will emerge. At 3pm London time there will be a release of US CB Consumer Confidence which could affect the USD.

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.