EUR/USD forecast today: the pair looks weaker

Bearish, below $0.9993.

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Trading is risky.

My previous recommendations for last Monday’s EURUSD traded produced a profitable sell trade from the downside breakout of the inside bar rejecting the resistance I set at $1.0195.

Today’s recommendations for trading the EUR/USD currency pair

  • The risk is 0.75%.
  • Trades must be entered between 8am and 5pm London time today only.

Selling Trading Ideas

  • Take a short trade after the price action reverses downward on the H1 timeframe right on the next touch: $0.9993, $1,0032 or $1.0061.
  • Set your stop loss at 1 pip above the local swing high.
  • Set the stop loss order to break even once the trade has made a profit of 20 pips.
  • Take 50% of the position as profit when the price makes 50 pips in profit and let the rest of the position work.

Buy trading ideas

  • Take a long trade after the price action reverses to the upside on the H1 time frame right on the next touch at $0.9930 or $0.9800.
  • Set your stop loss at 1 pip below the local swing low.
  • Set the stop loss order to break even once the trade has made a profit of 20 pips.
  • Take 50% of the position as profit when the price makes a profit of 20 pips and let the rest of the position work.

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

EUR/USD trading analysis

In my last analysis of the EURUSD on September 12th, I thought that despite the long-term trend to the downside, it was important that the price was continuing to create new higher support levels. I thought that the main pivot point for today is likely to be the support level at $1.0032.

This was partially accurate as the price broke through that level and ended the day in a bullish trend, but the level did not hold – the pivot point was really the resistance at $1.0195.

The technical picture is more bearish now. The long-term bullish trend for the US dollar gained steam again after US inflation data came in higher than expected in the middle of last week. However, it has been noted that the Euro has been showing some relative strength lately, with the Dollar gaining further against the British Pound and commodity currencies.

We are now seeing signs that the Euro may start to drop further, with the price once again trading below the parity level and, most importantly, the former support at $0.9993 which is now probably resistance.

If the price is subsequently determined below $0.9930, this will be a big bearish sign and indicate that a strong breakdown will finally occur.

I am willing to take a short trade today if we get a correction to the upside to $1.0032 and see a strong bearish reversal rejecting that level.


The chart was generated by . platform TradingView

There is nothing to be expected today regarding the Euro or the US Dollar.

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The article is in Arabic

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