EUR/USD Signal Update
Yesterday’s signals were triggered in both long and short directions, giving profit twice during the London session after first the upper then the lower triangle trend lines were rejected.
Today’s EUR/USD Signals
Risk 0.75%
Trades may only be entered between 8am and 5pm London time today.
Take risk off any open trade by 6pm London time.
Short Trade 1
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of the bearish trend line currently sitting at around 1.1300.
Place the stop loss 1 pip above the local swing high.
Move the stop loss to break even once the trade is 20 pips in profit.
Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
Short Trade 2
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1365.
Place the stop loss 1 pip above the local swing high.
Move the stop loss to break even once the trade is 20 pips in profit.
Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
EUR/USD Analysis
Yesterday’s forecast worked out very well as it was the kind of day, as expected, where major trend lines hold. This gave opportunities, first for a short trade early in the London session, then for a long trade near the end of the session.
We are reaching the very tip of the triangle and we are very unlikely to get a real breakout before the FOMC release after the London close later today. For this reason it will probably be hard to find a good trade during today’s London session. As we are already bouncing up off the lower trend line, I would only be looking for a short off the upper trend line or if we would reach the horizontal resistance at 1.1365.
There are no high-impact events scheduled today for the EUR. Regarding the USD, there will be releases of the FOMC Statement, Economic Projections, the Federal Funds Rate and a Press Conference commencing at 7pm London time.