EUR/USD Signal Update
Last Thursday’s signals were not triggered as the bearish reversal off the trend line did not occur until after London closed.
Today’s EUR/USD Signals
Risk 0.75%
Trades must be entered before 5pm London time.
Long Trade 1
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1108.
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 the broken supportive trend line currently sitting at around 1.1290.
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
In my last forecast I saw the price of this pair fairly stuck between resistance at the trend line and support at 1.1108 and that is exactly how things have turned out. At the time of writing not only are we close to the trend line again but there is also horizontal resistance at 1.1278 which has already been hit during the late Asian session. I see no reason why the trend line will not act as resistance again, so if there is another bearish reversal here later it could be a good short. Watch out for potential new support confluent with the round number at 1.1200: if that holds, it will be a bullish sign.
There is nothing due today regarding the EUR. Concerning the USD, there will be a release of CB Consumer Confidence data at 3pm London time.