Yesterday’s signals were not triggered, as there was no bullish price action when the price reached 1.1987.
Today’s EUR/USD Signals
Risk 0.75%.
Trades must be entered 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 1.1946.
- 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
- Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1989.
- 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
The price has made a deep pullback within its bullish trend, and has just touched a confluence of support at about 1.1950 where there is both a horizontal level and a trend line. Buying the dips in trends is usually a good strategy, but it is not yet clear at the time of writing whether the bullish bounce here is strong enough to buy. Broadly, I would not look to buy below 1.1989, as there is new resistance there, and the price will only be ready to truly bounce back once it clears that hurdle.
A strong bearish break below 1.1946 would be a very bearish development for this pair, and would be likely to signify strong downwards continuation.
There is nothing due today concerning either the EUR or the USD.