EURUSD: Consolidating above 1.1064
Yesterday’s signals were not triggered, as the price never quite hit the support level at 1.1064.
Today’s EUR/USD Signals
Risk 0.75%.
Trades may only be entered between 8am and 5pm London time today.
Short Trade Ideas
⦁ Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1093, 1.1106, or 1.1140.
⦁ 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 1.1064, 1.1056, 1.1043, 1.1039, 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 yesterday the technical picture had become a little more bullish still, as we got a new higher support level at 1.1064 which had formed just a few pips above the support level below it. I was looking for a long trade, and the nearest support level held after the price came to within half of a pip of it, so I was on the right track.
The price now is consolidating as yesterday was a very quiet day in the Forex market, with most prices moving little.
Markets today will probably wait for the FOMC minutes for major direction, so activity is likely to come mostly after the London session.
I prefer long to short trades here today, and probably during the London session scalping long any bounces off key support levels would probably be the best approach.
There is nothing of high importance due today concerning the EUR. Regarding the USD, there will be a release of FOMC Meeting Minutes at 7pm London time.