EUR/USD Daily Analysis:
EUR/USD continued downward Friday in line with our bearish forecast, hitting new lows at 1.2663, begging the age old trader’s question: how long can this trend continue? Technically we are sitting at two-year lows in a strong downtrend, with not much in the way below us toward 1.26/1.25 if we do see continued selling. Big money remains long on the USD and short the euro, and big money is usually right, so continued selling seems to be the path of least resistance, at least until NFP this Friday.
In that light we will continue looking to sell under the 10-day moving average, currently at 1.2790.
Our Preferred Trades*: We have set a sell limit at 1.2770, SL @ 1.2805, TP @ 1.2670.
Yesterday’s EUR/USD SwingPRO Signal Result: Flat on Friday.
Today’s SwingPRO Signal: Short on support breaks. See preferred trade above.
*CandlePRO: CandlePRO can be used in conjunction with our daily analysis and “our preferred trades.” For example, if we prefer “going short” or “selling a rally” then we would look for bearish candlestick signals after a rally or near resistance levels. Alternative if we prefer “going long” or “buying a dip” then we would look for bullish candlestick signals on price drops or near support levels.
