Yesterday’s signals were not triggered, as there was no bullish price action at 1.2393.
Today’s EUR/USD Signals
Risk 0.75%.
Trades must be taken between 8am and 5pm London time today only.
Long Trade
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.2301.
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 ride.
Short Trade
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.2436.
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 ride.
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
I wrote yesterday that if the price breaks below 1.2394, it is most likely to fall further, possibly even all the way to 1.2300, though I did see the level as likely to hold for the day. We are now seeing the price fall and it looks decisively counter-trend, as if it is going to fall all the way to 1.2300 which is very key support, and likely to be strong. There is a long-term bullish trend, but the Dollar is strong everywhere and the trend is not having any effect now. I think the price is quite likely to reach 1.2301 in the near future, so I have a short-term bearish bias.
There is nothing due important today concerning either the EUR or the USD.