EURUSD: Pivotal point likely at 1.1063
Last Thursday’s signals were not triggered, as there was no bullish price action at 1.1107.
Today’s EUR/USD Signals
Risk 0.75%.
Trades may only be entered before 5pm London time today.
Short Trade Idea
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1121.
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.
Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to ride.
Long Trade Ideas
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1063 or 1.1018.
Put the stop loss 1 pip below the local swing low.
Move 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 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 the best opportunity here may well be a spike following the release to an extreme support or resistance level which could then be faded. As it happened, the ECB release that day had little impact, and there were no such spiked.
This currency pair is trendless at present on the longer time frames. The only opportunity which I can see here is a possible bullish double bottom at the key support level of 1.1063, so I would take a weakly long bias if we get a healthy bullish bounce later at this level.
It is likely to be a fairly quiet day in the Forex market but political developments in the UK later might impact movement here.
There is nothing of high importance due today concerning either the USD or the EUR.