EUR/USD Signal Update
Last Thursday’s signals were not triggered and expired.
Today’s EUR/USD Signals
Entries may be made only between 8am and 5pm London time today.
Long Trade 1
Go long at the first touch of 1.3487.
Place a stop loss at 1.3454.
Move the stop loss to break even when the price reaches 1.3520.
Remove 50% of the position as profit at 1.3520 and leave the remainder of the position to ride.
Short Trade 1
Go short at the first touch of 1.3687.
Place a stop loss at 1.3720.
Move the stop loss to break even when the price reaches 1.3640.
Remove 50% of the position as profit at 1.3640 and leave the remainder of the position to ride.
Last Thursday saw a continued move upwards as expected, but the bearish trend line that I highlighted did act as stronger resistance than anticipated, and the upwards move was halted there and then the price then fell during the next day.
At the time of writing, we are moving slowly upwards today off local, probably weak support at around 1.3680.
It is hard to say what will happen next. The medium-term price action suggests bullishness, and if we test the bearish trend line again soon it might well break and pave the way for a move all the way up to 1.3688.
Below us, the support is hard to define exactly, but it is there and we have seen a “u-shaped” bottom at around the key psychological level of 1.3500.
I agree with my colleague Christopher Lewis who says that the near-term outlook for this pair is a range between around 1.3500 and 1.3700.
There are no high-impact data releases scheduled today for the hours after publication that might directly affect the EUR. Later at 3pm London time there will be a release of US Existing Home Sales data, which may affect the USD. It might be a fairly quiet day today for this pair.