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EUR/USD Forex Signal - 14 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.

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.

  • Adjust the stop loss to break even once the trade is 25 pips in profit.

  • Remove 50% of the position as profit when the trade is 25 pips in profit and leave the remainder of the position to ride.

EUR/USD Analysis

I was not expecting such a relatively strong upwards move yesterday but I had marked the upwards trend as still intact, so it is not that surprising. With such a strong upwards move we are now too far away from good flipped support levels to be entering any new longs though. In fact, we are now within sight of two key resistance levels that mark a logical zone which this upwards move might find hard to break past, at least for a time. If we enter this zone and get a strong bearish reversal, it would be a good place to seek a short trade, but with caution, as the upwards trend remains very much intact.

EURUSD 51415

There will be a release of U.S. PPI and Unemployment Claims data at 1:30pm London time today. It is a public holiday today in Germany, France and Switzerland, so trade in the Euro might be slower than usual.

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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