Top Forex Brokers
My previous EUR/USD signal on 9th October was not triggered, as none of the key levels I had identified were reached during the day’s London session.
Today’s EUR/USD Signals
Risk 0.75%.
Trades may only be taken before 5pm London time today.
Short Trade Ideas
- Go short following a bearish price action reversal on the H1 timeframe immediately upon the next touch of $1.0592, $1.0628, or $1.0674.
- 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.
- Remove 50% of the position as profit when the price reaches 50 pips in profit and leave the remainder of the position to ride.
Long Trade Ideas
- Go long following a bullish price action reversal on the H1 timeframe immediately upon the next touch of $1.0562, $1.0526, or $1.0515.
- Place 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
In my previous analysis of the EUR/USD currency pair, I wrote that the price would be unlikely to reach any key support or resistance level today. This was a good call as this is what happened. I was correct that there were better opportunities elsewhere in the market.
The technical picture here has become more bullish over the past few days, partly due to markets seeing the Israel/Gaza war as likely to remain contained – in my view this is over-optimistic. President Biden is arriving in Israel today, and his public pronouncements later in the day might bring some more clarity to the situation.
In any case, this dominant sentiment is sending the USD a bit lower right now, and the Euro is showing some relative strength.
Technically the picture looks quite bullish. The price chart below shows higher lows and highs, and the construction of higher support levels.
Bulls right now are stuck at the resistance level of $1.0592. The resistance is holding so far but it is very early and as price action looks bullish, I would be extremely careful in trying to take a short trade from this level.
I see the resistance at $1.0592 and the support at $1.0562 as technically important. If the price gets established above the resistance, I see scope for the price to move to the upside – this would probably be the best opportunity which could set up here today. There is more limited downside if the price gets established below $1.0562.
There is nothing of high importance due today regarding either the EUR or the USD. It is a public holiday today in the USA.
Ready to trade our daily Forex signals? Here is a list of the top regulated Forex brokers worth checking out.