EURUSD: More bullish but 1.1250 obstacle?
Yesterday’s signals were not triggered, as there was no bearish price action at 1.1235.
Today’s EUR/USD Signals
Risk 0.75%.
Trades must be taken between 8am and 5pm London time today only.
Short Trade Idea
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1279.
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 Ideas
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1225 or 1.1199.
Put the stop loss 1 pip below the local swing low.
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 the key support level at 1.1199 would probably be today’s pivotal point. This was a good call as the price remained above the level all day and advanced.
The picture now is a little more bullish as we have a new higher support level at 1.1225. However, the price faces potential resistance now at about 1.1250 which may halt the advance, so I would be wary of trading this currency pair today.
There is nothing of high importance due today regarding either the EUR or the USD.