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EUR/USD Forex Signal - 1 June 2016

By 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.

EUR/USD Signal Update

Yesterday’s signals might have been triggered upon the bearish rejection of 1.1167. If so such a trade would be in profit as at the time of writing, but as the entry candle was so large an exit now would be most prudent.

Today’s EUR/USD Signals

Risk 0.75%

Trades must be taken before 5pm London time today only.

 

Long Trades

  • Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1068 or 1.1035.

  • 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.

  • Take off 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run.

 

Short Trades

  • Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1167 or 1.1200.

  • Put the stop loss 1 pip above the local swing low.

  • Adjust 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 run.

EUR/USD Analysis

In my forecast yesterday I wrote that the bearish trend structure remains intact with nothing really to upset its rhythm yet. In any case the structure won’t be broken unless the price can really break up above 1.1167.

What happened is that the downwards trend and bearish structure has remained completely intact, with the price rising to and then rejecting the trend line and horizontal level at 1.1167.

There are no significant technical changes to alter this picture.

EURUSD

 There is nothing due today concerning the EUR. Regarding the USD, there will be a release of ISM Manufacturing data at 3pm London time.

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.

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