EUR/USD Forex Signal - 18 June 2018

Last Thursday’s signals were not triggered, as there was no bullish price action at 1.1732 or 1.1709.

Today’s EUR/USD Signals

Risk 0.75%.

Trades may only be taken between 8am and 5pm London time today, during the next 24-hour period.

Short Trades

  • Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1648 or 1.1709.

  • 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

  • Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1577 or 1.1496.

  • 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

I wrote last Thursday that I had no bias and that the struggle now for bulls will be to drive the price above the 1.1800 to 1.1850 area which does not have any precise pivotal points, but it has been a very resistant area for some time. The ECB release initially pushed the price up to 1.1850 from where it fell sharply and heavily, although it seems to have bottomed out above 1.1550. The price is now in a bearish zone within a long-term bearish trend which is fully valid again. However, it may not be ready to resume its downward movement yet, as we see a possible first higher low at the support level of 1.1577. I would be bearish today below 1.1577.EURUSD

There is nothing important 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.