EURUSD: Bearish move halted by 1.1206
Yesterday’s signals were not triggered, as the price never quite reached the support level identified at 1.1206.
Today’s EUR/USD Signals
Risk 0.75%.
Trades must be taken between 8am and 5pm London time today only.
Short Trade Idea
-
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1271.
-
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.
-
Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run.
Long Trade Ideas
-
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1206 or 1.1161.
-
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.
-
Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run.
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 yesterday that the support at 1.1206 just above the round number looked very likely to be the day’s pivotal level. I had no firm directional bias. The price got very close to this level which has continued to hold. We are very likely to get a test of it at some point today so it should be the day’s pivotal point. It is tempting to take a bearish bias if that level breaks down due to the widespread strength of the U.S Dollar, but this pair is well within its long-term range and therefore could turn around quite easily. Probably the highest-probability trade setup which might occur in this pair today would be some long pips from a bullish bounce at 1.1206.There is nothing of high importance due today regarding the EUR. Concerning the USD, the Chair of the Federal Reserve will be making a minor speech at 1:45pm London time.
Did you like what you read? Let us know what you think!
Please make sure your comments are appropriate and that they do not promote services or products, political parties, campaign material or ballot propositions. Comments that contain abusive, vulgar, offensive, threatening or harassing language, or personal attacks of any kind will be deleted. Comments including inappropriate will also be removed.
Please make sure your comments are appropriate and that they do not promote services or products, political parties, campaign material or ballot propositions. Comments that contain abusive, vulgar, offensive, threatening or harassing language, or personal attacks of any kind will be deleted. Comments including inappropriate will also be removed.