This week, EUR/USD was subjected to increased volatility, with initial gains (a high of 1.2446) giving way to losses toward the end of the week. The weakness appears to have coincided with the ECB meeting and press conference, something which we find somewhat surprising. Aside from the dropping of the easing bias (and the generally constructive tone on economic activity), we could not find anything fundamentally bearish in the central bank’s message. News on the US administration signing import tariffs on steel and aluminium might have also played a role, though we doubt that they will be fundamentally supportive of the dollar.
This is how MyFXspot.com forex trading strategies look like:
EUR/USD
Trading strategy: Long
Open: 1.2330
Target: 1.2580
Stop-loss: 1.2210
Recommended size: 1.67 mini lots per $10,000 in your account
Short analysis: Yesterday's corrective move was rejected today and a bullish hammer is forming on a daily chart. This may suggest continuation of bullish trend in the coming days.
Previous position: Short opened at 1.2300, profit taken at 1.2180, earned: 120 pips, $328 per $10,000 in your account
GBP/USD
Trading strategy: Long
Open: 1.3780
Target: 1.4100
Stop-loss: 1.3640
Recommended size: 1.07 mini lots per $10,000 in your account
Short analysis: The GBP/USD bounced from the daily cloud support (1.3780) and is trying to pierce 14-day EMA now. A close above this level would be an important bullish signal and give some hope to our long position.
Previous position: Short opened at 1.3930. Profit taken at 1.3770, earned: 160 pips, $301 per $10,000 in your account
USD/JPY
Trading strategy: Short
Open: 106.20
Target: 104.20
Stop-loss: 107.20
Recommended size: 1.58 mini lots per $10,000 in your account
Short analysis: Our USD/JPY short is struggling. The pair broke above some important short-term moving averages. Now we see some strong resistance ahead: 107.17 (23.6% retrace of 113.38-105.26 drop), 107.20 (daily high on March 1) and 107.24 (38.2% retrace of the 1110.48-105.26 drop).
Previous position: Short opened at 107.80. Profit taken at 107.40, earned: 40 pips, $53 per $10,000 in your account
USD/CAD
Trading strategy: Short
Open: 1.2825
Target: 1.2635
Stop-loss: 1.2915
Recommended size: 2.27 mini lots per $10,000 in your account
Short analysis: The CAD strengthened against the USD today, as Canada was exempted from U.S. metals tariffs and domestic data showed that employment rose in March. The CAD was also supported by oil prices. The price of oil, one of Canada's major exports, rose amid optimism over a planned meeting between North Korean leader Kim Jong Un and U.S. President Donald Trump. We've opened short at 1.2825.
Previous position: Short opened at 1.2820. Stop-loss hit at 1.2930, lost: 110 pips, $150 per $10,000 in your account
AUD/USD
Trading strategy: Long
Open: 0.7805
Target: 0.8010
Stop-loss: 0.7705
Recommended size: 2.00 mini lots per $10,000 in your account
Short analysis: The AUD/USD is going to close above 21-Day SMA, a crucial resistance level. A close above this level would open the way to 0.7893 and 0.7986 levels.
Previous position: Short opened at 0.7845. Profit taken at 0.7785, earned: 60 pips, $180 per $10,000 in your account
EUR/GBP
Trading strategy: Long
Open: 0.8880
Target: 0.9010
Stop-loss: 0.8815
Recommended size: 1.12 mini lots per $10,000 in your account
Short analysis: We used today's dip to open long position at 0.8880. 14-day momentum is positive and we target 0.9010 now. Stochs are running sharply lower, which is a bit worrying.
Previous position: Short opened at 0.8790. Stop-loss hit 0.8830, lost: 40 pips, -$100 pips per $10,000 in your account
Source: MyFXspot.com