Weekly trade idea on EUR/USD

Saul Lokier The5ers Fund

Week: 10-14.05.2021

Key event: USD. Retail Sales

The retail Sales measures the total receipts of retail stores. Monthly percent changes reflect the rate of changes in such sales. Changes in Retail Sales are widely followed as an indicator of consumer spending. Generally speaking, a high reading is seen as positive for the USD, while a low reading is seen as negative.

We expect a lower reading than the previous month.

Until release day, we expect a continuation of the actual US weakening trend against most major pairs. We do not expect a surprising positive data release that could reverse the actual trend direction.

Key Levels EUR/USD:

Resistance 1.2170, 1.2350
Support 1.1990, 1.1850, 1.1700

Trend EUR/USD

Bullish

Price has recovered aggressively to the upside. A test of the next resistance is very likely. If that level doesn't hold we should see a rally all the way to 1.2250/1.2300.

Call to Action/Trade Idea

We will look for any opportunity to join the bullish trend. Any retracement or pullback. Only an unexpected important release might overturn the actual trend.

Author

Saul Lokier

The5ers Fund

Saul is a professional Forex Trader for over 8 years. Characterized by a simple approach to trading, he manages funds for International Forex Funds, as well as personal accounts. Saul is the former Head Trader at FXsmartrader Academy.

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