Yesterday’s signals were not triggered, as there was insufficiently bullish price action at the support levels which were reached.
Today’s EUR/USD Signals
Risk 0.75%.
Trades must be entered before 5pm London time today, over the next 24-hour period.
Short Trade
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1596.
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.
Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run.
Long Trades
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1496, 1.1467, or 1.1447.
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.
Remove 50% of the position as profit when the price reaches 25 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 picture has turned significantly more bearish over the past day, as the price moves down strongly in line with the long-term bearish trend. However, the price has not broken below relatively recent swing lows, so it is possible this move will have to pull back before advancing further. There is major U.S. data due later today which is quite likely to move the price and make the major difference as to what happens today. Another factor to consider for bears is that the price is now close to the 1.1500 area which is a major psychological level and will possibly be supportive.
Nevertheless, I have a bearish bias today, as there is strongly bearish momentum present.
There is nothing important due today concerning the EUR. Regarding the USD, there will be a release of Final GDP data at 1:30pm London time.