By: Luis Angeles
When reading any newspaper, it seems like a rough landscape for the EUR, since Eurozone leaders are focusing on the region's current debt problems while US leaders are struggling to reign in projected future defaults. A first look at the pair looks unpromising, but I think there's a chance for profits if we look at the cycles found in the charts.
As you can see, we had some continual valleys followed by some small peaks, and then a huge peak comes; stochastics also support the idea of a rise after this downs, with a value of 21.4; the DMI+: 22.3645 is confirming that an uptrend will be seen in a few hours. Besides all of this, we’re having a general uptrend since last week.
Take the position like this: wait till it hits around 1.43 +/- 15 pips due to volatility, then BUY the pair, with target @1.44, and Stop Loss @1.425.
The author is a new contributor to DailyForex who has 3 years of Forex theoretical studies and nearly 2 years of successful live trading. He is currently completing a degree in finance and banking.
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