Yesterday’s signals were not triggered, as the bullish bounce at the support level of 1.1665 did not occur until the end of the London session.
Today’s EUR/USD Signals
Risk 0.75%.
Trades must be entered before 5pm London time today only.
Short Trades
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1677 or 1.1700.
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 Trade
Go long following a bullish 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.
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 as this pair was in a long-term consolidation under the 1.1750 area, so it seemed difficult to predict provided it remained within that formation. I saw both the levels of 1.1665 or 1.1718 as equally interesting. Neither of these levels provided an opportunity, and the picture now has become more bearish as the price breaks below the lower edge of the triangle, which is a bearish sign. This is in line with the long-term bearish trend, so I have a bearish bias today. There is a danger of the historic inflection point at 1.1620 acting as support before the round number at 1.1600 would be reached, which is very confluent with a key support level at 1.1596.
There is nothing important due today concerning either the EUR or the USD