EUR/USD Long: Strategic Entry Amidst Bullish Momentum
Updated
EUR/USD Long Position Targeting Sunday Open
Setup Overview:
This trade is based on a 30-minute chart where EUR/USD is positioned for a potential bullish move. The pair has recently shown strong support at the lower zone, and I’m targeting a rally towards the Sunday open, which aligns with the upper resistance level visible on the chart.
Key Levels:
• Entry: The trade is entered near the support zone, capitalizing on the recent retracement and aiming for a bounce back.
• Target: The Sunday open level, which corresponds with the upper green zone on the chart, indicating potential profit-taking.
• Stop-Loss: A stop-loss is set just below the recent low, indicated by the red zone, to manage risk and protect the position in case of a downward move.
Rationale:
The recent price action suggests a consolidation phase, with a bullish breakout likely as we approach the weekend. The trade strategy is built on the expectation that the EUR/USD will rebound off the support and head towards the Sunday open, where previous price action has shown resistance.
Risk Management:
With a well-defined stop-loss and a clear target, this trade maintains a favorable risk-to-reward ratio. The setup is designed to capture the upside potential while minimizing downside risk.
Setup Overview:
This trade is based on a 30-minute chart where EUR/USD is positioned for a potential bullish move. The pair has recently shown strong support at the lower zone, and I’m targeting a rally towards the Sunday open, which aligns with the upper resistance level visible on the chart.
Key Levels:
• Entry: The trade is entered near the support zone, capitalizing on the recent retracement and aiming for a bounce back.
• Target: The Sunday open level, which corresponds with the upper green zone on the chart, indicating potential profit-taking.
• Stop-Loss: A stop-loss is set just below the recent low, indicated by the red zone, to manage risk and protect the position in case of a downward move.
Rationale:
The recent price action suggests a consolidation phase, with a bullish breakout likely as we approach the weekend. The trade strategy is built on the expectation that the EUR/USD will rebound off the support and head towards the Sunday open, where previous price action has shown resistance.
Risk Management:
With a well-defined stop-loss and a clear target, this trade maintains a favorable risk-to-reward ratio. The setup is designed to capture the upside potential while minimizing downside risk.
Note
After a 20-hour trade with 3 hours spent in drawdown, the market has now shown some recovery. Given the current price action and the apparent lack of volume, it’s prudent to move our stop-loss into profit territory. This adjustment will lock in gains and allow the trade to continue running with minimized risk. Let’s see how the market evolves from here.
Trade closed: target reached
The target was successfully reached after a pullback just before the New York open, with the trend continuing in our favor. Well done to everyone who held on to the trade! A quick note: remember that price and candle patterns can vary depending on the broker you’re using. Keep this in mind for future trades.
Have a great day, everyone!
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