EUR/USD Signal Update

Yesterday’s signals were not triggered.

Today’s EUR/USD Signals

Risk 0.75%

Trades must be taken between 8am and 5pm London time today only.

Long Trade 1

* Long entry following a bullish price action reversal on the H1 time frame immediately upon the next entry into the zone between 1.1068 and 1.1035.

* Put the stop loss 1 pip below the local swing low.

* Adjust 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 run.

Short Trade 1

* Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1338.

* Put the stop loss 1 pip above the local swing high.

* Adjust 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 run.

EUR/USD Analysis

I wrote yesterday that I had thought that it looked as if the support at 1.1200 was not going to hold. This is exactly what happened, with USD strength continuing to push the price down, although it should be noted that the EUR has held up better against the USD than many other currencies.

I do not see any really strong support before 1.1068 so if the USD continues to be strong the price should continue to drift downwards. The support might begin as early as 1.1125.

There is news due for both sides of this pair which might change the picture.

Concerning the EUR, there will be a release of Targeted LTRO data at 10:15am London time. Regarding the USD, there will be a release of Core Durable Goods Orders and Unemployment Claims data at 12:30pm.