EUR/USD Forex Signal: Large Scale Consolidation Continues

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Big sell near $1.0300.

My previous EUR/USD signal on the 18the July was not triggered as there was no bearish price action when the key resistance level at $1.0121 was first hit.

EUR/USD Signals Today

Risk 0.75%.

Transactions can only be entered between 8:00 a.m. and 5:00 p.m. London time today.

  • Go short after a reversal in bearish price action on the H1 time frame immediately after the next touch of $1.0211 or $1.0245.
  • Place the stop loss 1 pip above the local swing high.
  • Move the stop loss to break even once the trade has reached 20 pips of profit.
  • Withdraw 50% of the position in profit when the price reaches 50 pips in profit and let the rest of the position work.

Long Business Ideas

  • Go long after a bullish price reversal on the H1 time frame immediately after the next touch of $1.0073, $1.0042 or $1.0000.
  • Place the stop loss 1 pip below the local swing low.
  • Move the stop loss to break even once the trade has reached 20 pips of profit.
  • Withdraw 50% of the position as profit when the price reaches 20 pips of profit and let the rest of the position work.

The best method to identify a classic “price action reversal” is to close an hourly candle, such as a pin bar, doji, outside, or even just an engulfing candle with a higher close. You can exploit these levels or areas by observing the price action that occurs at the given levels.

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EUR/USD analysis

In my latest analysis of the EUR/USD currency pair on the 18the In July, I noted that the level at $1.0121 looked attractive for a short trade entry, but if the price breaks above $1.0121 later, it would signify a much deeper bullish retracement. .

The level at $1.0121 at the end was not significant at all with the price easily breaking above it, but I was correct that it was definitely bullish as the price continued to move higher over the following days.

The technical picture is now different, as although we have seen the Euro make repeated attempts to rise against what has become a weaker US Dollar, the bulls simply have not been able to get the price beyond the $1.0300 handle.as there seems to be strong selling whenever the price approaches this area.

On the other hand, we also see significant buying whenever the price reaches the $1.0100 area.

This combination of strong buyers and strong sellers produces a no man’s land between $1.0100 and $1.0280 in which the price may vary.

Despite this overall consolidation, the short-term picture looks bearish with price breaking below $1.0211 which held as resistance.

The best strategy today will probably be to look for a reversal from any key level and trade in the direction of the reversal, while being cautious about taking profit. Anyone trading without levels right now should look to short minor pullbacks as they get back into the trend.

Any surprises from the Bank of England later (a 0.50% rate hike is expected) could also lead to volatility in the Euro, so it is worth watching.

EUR/USD

Nothing major is expected today for the EUR or the USD.

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