EUR/USD Forex Signal - 20 June 2016

EUR/USD Signal Update

Last Thursday’s signals were not triggered as there was no bullish price action at either 1.1200 or 1.1234.

Today’s EUR/USD Signals

Risk 0.75%

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

 

Long Trades

  • Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1234 and 1.1200.

  • 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.

  • Take off 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run.

 

Short Trades

  • Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1477 or 1.1505.

  • 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.

  • Take off 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run.

EUR/USD Analysis

This pair has gapped only quite strongly this week, and this is because of an increasing sentiment in the market that Britain is going to vote to remain within the European Union this Thursday. This has boosted the Euro and risk assets in general.

There was a resistance level at 1.1317 where the price opened, but I doubt it will act as support should the price retrace down there, as these weekend gaps usually get filled if they are touched quite soon.

The nearest key resistance levels are probably too high away to be reached. It looks like being the kind of day that is hard to trade, unless there is a new poll released showing Brexit pulling ahead, which could cause a swing down and a filling of the gap.EURUSD

There is nothing due today concerning either the EUR or 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.