EUR/USD Signal Update
Last Thursday’s signals were not triggered as the level at 1.0666 was not reached until after the London session.
Today’s EUR/USD Signals
Risk 0.75%.
Trades must be taken before 5pm London time today only.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.0520.
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 run.
Short Trade 1
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.0584.
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 run.
EUR/USD Analysis
This pair makes a rare return to the heart of the Forex market following yesterday’s surprisingly heavy defeat of the reform proposal in the Italian referendum. The Italian Prime Minister resigned and during the Asian session this pair made a new 20-month low before recovering somewhat.
This fundamental development is quite likely to put a more bearish slant on the Euro, in line with its long-term downwards trend here.
The area close to 1.0500 is a key psychological area, so it is quite likely to hold as support barring any further dramatic developments later.
There is nothing due today regarding the EUR. Concerning the USD, there will be a release of ISM Non-Manufacturing PMI data at 3pm London time.