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EUR/USD Forex signal May 19, 2015 - 19 May 2015

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 expired without being triggered as the price did not reach any of the key levels mentioned during the London session.

Today’s EUR/USD Signals

Risk 0.75%

Trades may only be taken between 8am and 5pm London time today.

Short Trade 1

• Short entry following a bearish price action reversal on the H1 time frame immediately upon the next entry into the zone between 1.1450 and 1.1532.

• 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.

• Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.

Long Trade 1

• Long entry at 9am London time provided the price is above 1.1319.

• Place the stop loss 1 pip below the local swing low.

• Move the stop loss to break even once the trade is 20 pips in profit.

• Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.

Long Trade 2

• Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1200.

• Place the stop loss 1 pip below the local swing low.

• Move the stop loss to break even once the trade is 20 pips in profit.

• Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.

EUR/USD Analysis

I had been forecasting that 1.1450 was likely to be key resistance and it has now become clear that the short-term upwards trend is over as we descend with relative rapidity from that level. At the time of writing it seems that the London Open is breaking the support at 1.1277 down, which opens the way down to a further move to 1.1200. The short-term future is uncertain, but if we spend today bouncing between 1.1200 and 1.1275 or thereabouts it would not be a surprise.

EUR/USD Analysis

There are high-impact news releases scheduled today concerning both the USD and the EUR. Concerning the EUR, there will be a release of German ZEW Economic Sentiment data at 10:00am London time. Regarding the USD, there will be a release later of U.S. Building Permits data at 1:30pm.

Adam Lemon
About 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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