EUR/USD Signal Update
Yesterday’s signals were not triggered.
Today’s EUR/USD Signals
Risk 0.75%
Trades must be entered only between 8am and 5pm London time today.
Long Trade 1
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of the broken trend line currently sitting at about 1.0995.
Place 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 trade is 20 pips in profit and leave the remainder of the position to ride.
Long Trade 2
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.0930.
Place 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 trade is 20 pips in profit and leave the remainder of the position to ride.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1292.
Place 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.
Take off 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
Yesterday’s FOMC was bearish for the USD and therefore this pair rallied quite healthily following the release, with the EUR one of the strongest movers against the USD. It continued to rise overnight but this rise was halted by the formation of a new, fairly short-term bearish trend line shown on the chart below. I will wait for another day to see if it holds before signalling short trades off that line. This signifies that the pair may well have reached a short-term peak and might now fall back towards the 1.1000 area. Action is likely to be somewhat choppy, inconclusive and hard to trade.
There is nothing due concerning the EUR. Regarding the USD, there will be a release of Unemployment Claims data at 1:30pm London time, followed by Existing Home Sales and the Philly Fed Manufacturing Index at 3pm.