Yesterday’s signals were not triggered as there was no bullish price action at 1.0572.
Today’s EUR/USD Signals
Risk 0.75%.
Trades may only be taken between 8am and 5pm London time today.
Long Trades
* Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.0544 or 1.0525.
* Put 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 price reaches 20 pips in profit and leave the remainder of the position to run.
Short Trade 1
* Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.0667.
* Put 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 price reaches 20 pips in profit and leave the remainder of the position to run.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
EUR/USD Analysis
Although this pair remains in a long-term downwards trend, the action recently has arguably been just as supportive than resistant, although the price is finding it impossible to get above 1.0630. We saw an invalidation of the closest support level at 1.0572 yesterday, so all signs point to continued mild bearishness, except the candlestick pattern suggests a flag which is arguably bullish. Much will be determined by the U.S. data release cycle of new jobs numbers which begins to be released today.
There is nothing due today concerning the EUR. Regarding the USD, there will be a release of the ADP Non-Farm Employment Change numbers at 1:15pm London time, followed by Crude Oil Inventories at 3:30pm.