Last Thursday’s signals were not triggered, as there was insufficiently bullish price action at 1.1653.
Today’s EUR/USD Signals
Risk 0.75%.
Trades must be taken 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 1.1645 or 1.1684.
Place 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
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1589 or 1.1535.
Place 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.
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 last Thursday that I would only be bullish today above 1.1731. A day or two of consolidation between 1.1650 and 1.1731 seemed quite likely. I was broadly correct, as the price has moved lower since then with quite wide and clear bearish swings, making lower highs. After falling cleanly last Friday, the price now seems to be finding more solid support at 1.1589, but if it is going to rise, this will probably take some time. It will probably be a thin trading day so there is not likely to be much opportunity beyond scalping some long pips at a bullish bounce at 1.1589. My bias would become bearish if the price breaks below 1.1589 and remains there.
There is nothing important due today concerning either the EUR or the USD. It is a public holiday in the U.S.A. today.