The trading analysis from last time worked well and it reached the first potential target- the support level at 1.1570. It then bounced back and formed first a daily rejection and then an inside bar.
This was the sign I was looking to exit my trade.
EURUSD Trading Analysis
What I am looking today is EURUSD again. As explained in the previous analysis, I was looking for either a breakout or a re-bounce. Well, the re-bounce is a fact already, so now I am looking for a potential long entry.
From a daily perspective, there is a bullish engulfing pattern that is formed of two candles. This is confirming the bullish stance.
If I proceed to buy EURUSD, I will be looking for a small correction back to 1.1615. Then, I will be also looking for a price action confirmation pattern. If such occurs, the next resistance (or price target) could be 1.1875.
I would be careful with this pair, since it might take some time to find direction. But it seems to me that price action is confirming my initial view and now is giving green light to the buyers.
Happy Trading,
This material is written for educational purposes only. By no means do any of its contents recommend, advocate or urge the buying, selling or holding of any financial instrument whatsoever. Trading and Investing involves high levels of risk. The author expresses personal opinions and will not assume any responsibility whatsoever for the actions of the reader. The author may or may not have positions in Financial Instruments discussed in this newsletter. Future results can be dramatically different from the opinions expressed herein. Past performance does not guarantee future results.
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