EUR/USD Signal Update
Last Thursday’s signals were not triggered as the bullish price action took place below 1.0800.
Today’s EUR/USD Signals
Risk 0.75%
Trades may only be entered 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 1.0772.
* 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.
* Take off 50% of the position as profit when the price reaches 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 1.0708.
* 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.
* Take off 50% of the position as profit when the price reaches 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 1.1000.
* 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.
* Take off 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to ride.
EUR/USD Analysis
Following the talk by the ECB of a somewhat softer monetary policy last Thursday, this pair fell to a level below the round number at 1.0800 but found support before 1.0772, and has risen to an area above 1.0800 again. However it seems now that this pair may be ready to fall and break out of this range from 1.1000 down to 1.0800 or 1.0700 that has contained it over the previous several weeks. I could see this pair falling again down to its lows of last year and testing them. I have a bearish bias overall. We have above strong resistance at a key psychological number of 1.1000 combined with a trend line that has been rejected three times very close by to that price. I have reversed my earlier view that a break up above 1.1000 was likely.
Concerning the EUR, German IFO Business Climate data will be released at 9am London time. There is nothing due regarding the USD.