Last Thursday’s signals were not triggered, as there was no bullish price action at either 1.1718 or 1.1674.
Today’s EUR/USD Signals
Risk 0.75%.
Trades may only be taken between 8am and 5pm London time today.
Short Trades
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1668 or 1.1718.
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.
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 Trade
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1596.
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.
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.
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 the technical picture looked a little more bullish as the price now seemed to have become established above 1.1718, which has flipped to become new higher support, but the ECB release could push the price anywhere. The ECB release had the effect of pushing the price down quite strongly, in line with the long-term bearish trend, but the price turned around without reaching the support at 1.1596 and is now challenging the resistance at 1.1668. This is likely to be the pivotal level which will determine what happens today. If the price can get established above it, it would be a bullish sign. It looks likely to be a slow trading day in any case.
There is nothing important due today concerning either the EUR or the USD.