Yesterday’s signals were not triggered, as there was no bullish price action when the price reached 1.1673.
Today’s EUR/USD Signals
Risk 0.75%.
Trades may only be taken between 8am and 5pm London time today, during the next 24-hour period.
Short Trade
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1675 or 1.1732.
Put 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 ride.
Long Trades
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1629 or 1.1596.
Put 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 25 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 I had no confidence in today’s direction at all and expected the action to be choppy. The action was quite choppy, but the direction was down. The picture is no clearer as we start today, with bullish price action within a relatively bearish structure, and the price is currently stuck within a narrow support and resistance band. For these reasons, I again have no directional bias, but if the price can get established beyond 1.1675 there would be more reason to be bullish. In any case, this pair is at the heart of the Forex market now, so it is probably worth keeping an eye on.
There is nothing important due today concerning the EUR. Regarding the USD, there will be a release of Core Durable Goods Orders data at 1:30pm London time, followed by Crude Oil Inventories data at 3:30pm.