Free Profitable Forex Newsletter
Hey! This is Philip with this week's trade idea of the Free Profitable Forex Newsletter!
Looking To Buy EURUSD Toward 1.1250
Continuing where we left off in our EURUSD update in last week's newsletter, we saw weaker Non-Farm Payrolls and US data overall, so that sent EURUSD higher.
The bullish breakout of the wedge in EURUSD last week seems to be of more sustainable nature, though confirmation or rejection of that will be seen in the coming days and weeks.
The retail sales report today is the first key event that will be watched ahead of next week’s Fed meeting and business sentiment PMI data out of the EU. Next week’s events can break or make EURUSD and particularly the main attention will be on the Fed meeting.
Retail sales will shape the expectations for next Wednesday’s Fed meeting. If retail sales disappoints today EURUSD is likely to take another sharp leg higher, while if it beats expectations the Dollar will strengthen but it’s unlikely to be a substantial move.
Essentially, if retail sales disappoints EURUSD most likely extends the bullish move with another leg higher, while if retail sales is strong then EURUSD likely stays in a rangy kind of price action, as we’ve seen for months now.
Thus, the risks going into the retail sales report today and the Fed meeting next week are skewed in favor of higher EURUSD.
For these reasons, a “buy the dips” stance seems appropriate.
EURUSD is currently testing the 1.1250 price zone which should act as support. Either a bounce or a bearish breakout will likely be triggered on the retail sales report today.
Risk-reward is attractive at current levels, so entries close to 1.1250 with a stop below 1.1240 could prove profitable after the retail sales is released. If the report is strong then the stop will probably be taken out.
- Near current levels and closer to 1.1250; bullish patterns on intraday charts here will help to strengthen our confidence in the trade
Stop loss:
- Going for a tight stop, below 1.1240 - of course, taking into account some increased volatility probably due to the retail sales report later today
Targets:
- 1st: 1.1350 - A retest of last week's highs around 1.1350 and the 200-week moving average in this area.
- 2nd: 1.1500 - A potential bullish breakout above 1.1350 then will clear the way toward 1.1500
Trade signals from the past 4 weeks
Week May 13 – May 17, 2019
- May 15, 2019 – Short EURGBP from 0.8705, stop triggered at 0.8735 = -30 pips
Week May 20 – May 24, 2019
- May 23, 2019 – Long EURCHF from 1.1150, still open; over 60 pips in profit at the moment (in progress)
Week May 27 – May 31, 2019
- May 31, 2019 – Long Silver (XAGUSD) from $14.65, 1st target reached on June 5 at $15.00 = $0.35 profit per ounce bought = 175 pips (in a realistic perspective it would amount to a profit of 175 pips on Fx pairs)
Week June 03 – June 07, 2019
- Market update - No specific trade sent
TOTAL: +175 pips in the past week
TOTAL: +1115 pips profit since October 1, 2018
Give Yourself The
True ECN Advantage
FP Markets combines state of the art technology with low cost true ECN pricing and a huge product offering to create a genuine destination for all types of traders. ASIC regulated in Australia, our outstanding 24/5 multilingual service has led
to FP Markets being the home of the most satisfied clients 5 years running!
FP Markets is an Australian regulated broker with over 14 years experience. We offer traders Forex, Equities, Commodities, Cryptocurrency, Futures and Index CFDs on consistently tighter spreads in unparalleled trading conditions.
If you have any questions or feedback, don't hesitate to reply to this email.
Thank you!
High Risk Warning: Please note that foreign exchange and other leveraged trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved, seeking independent advice if necessary.
Any opinions, news, research,
predictions, analyses, prices or other information contained in this newsletter is provided as general market commentary and does not constitute investment advice. FX Trading Revolution will not accept liability for any loss or damage including, without limitation, to any loss of profit which may arise directly or indirectly from use of or reliance on such information.
|
|
|
