The EUR/USD pair initially fell during the session on Wednesday, but found support just above the 1.05 level to form a hammer on the daily chart. This is a classic reversal sign, and this leads me to believe that a short-term bounce is coming, although I recognize the sellers are still in control longer-term.
Risk 0.33%
Can be taken until end of European trading.
Long Signal 1:
Buy EUR/USD above the 1.0550 level
Stop loss at 1.0520
Take profit at 1.0575
Short Signal 1:
Sell EUR/USD below 1.05
Stop loss at 1.0520
Take profit at 1.0350
EUR/USD Analysis:
The pair should continue to sell off over the longer-term, but I think that the 1.05 level continues to be an area that will cause significant noise. The market will be short-term related and volatile to say the least.
