Trading today is complicated by the fact that the US inflation data release near the start of the New York session could cause a lot of directional volatility, so traders should beware of that. My previous EUR/USD signal on 7th December was not triggered as there was insufficiently bearish price action when the resistance levels were first reached that day.Today’s EUR/USD SignalsRisk 0.75%.Trades may only be entered 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 $1.0773, $1.0815, or $1.0848.
  • 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 Idea

  • Go long following a bullish price action reversal on the H1 timeframe immediately upon the next touch of $1.0726.
  • 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 AnalysisIn my previous analysis of the EUR/USD currency pair last Thursday, I wrote that the technical picture had become more bearish, with both a relatively strong US Dollar and a weak Euro, which had been pushing the price down quite firmly over the past few days.However, I also noted that the area around $1.0750 which the price had almost reached had typically been pivotal during recent months, so a bullish bounce here was very possible.This is what we have seen, with the price seeming to bottom out and slowly turn in the $1.0750. The price is now rising bullishly to threaten the nearest resistance level at $1.0773.I think if we get two consecutive higher hourly closes above $1.0773 following the London open, the price will be likely to continue rising to $1.0815. If the price closes above $1.0815 at the end of the New York session, that would be a very bullish sign and suggest an important bullish reversal has taken place.Alternatively, if the price falls to close below $1.0773, that will be a bearish sign.Trading today is complicated by the fact that the US inflation data release near the start of the New York session could cause a lot of directional volatility, so traders should beware of that. More By This Author:AUD/USD Forex Signal: On the Cusp Of A Bearish BreakoutBTC/USD Forex Signal: Bitcoin Price Loses MomentumEUR/USD Analysis: Cautious Anticipation of Central Bank Decisions

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