Last Thursday’s signals were not triggered, as the price was already trading consistently above the resistance level of 1.1989 by the London open.
Today’s EUR/USD Signals
Risk 0.75%.
Trades may only be entered before 5pm London time today.
Short Trade
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.2060.
Put 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.
Take off 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to ride.
Long Trades
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1929 or 1.1885.
Put 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.
Take off 50% of the position as profit when the price reaches 25 pips in profit and leave the remainder of the position to ride.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
EUR/USD Analysis
The Dollar declined a little as the week opened in Asia, but late in the session began turning to advance again. This pair currently looks the most bearish of all the major currencies trading against a strengthening U.S. Dollar. Although the support level at 1.1929 held towards the end of last week, it now looks as if the price will fall to test and possibly exceed that level soon. There is a short-term bearish trend line connecting recent highs, shown in the price chart below, which looks very convincing and can be expected to drive the price down. I have a bearish bias today.
There is nothing due today concerning either the EUR or the USD.