By: DailyForex.com
Yesterday’s signals gave a long trade following the bullish pin candle rejecting the support level identified at 1.0648. It came close to making the minimum 20 pips and is still in play.
Today’s EUR/USD Signals
Risk 0.75%.
Trades must be entered between 8am and 5pm London time today only.
Long Trades
* Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.0648 or 1.0600.
* 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 Trades
* Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.0712 or 1.0746.
* 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
It looks as if the price is bottoming out at the support level of 1.0648, which was rejected yesterday, albeit not very convincingly.
The price is still above its level of 3 months back, although it has fallen strongly over recent days, so it is a difficult pair to forecast now. The support level at 1.0600 looks attractive, as it is becoming confluent with a long-term supportive trend line.
There is nothing due today regarding the EUR or the USD.