Nov 5 '15 EURUSD Short Setup #2
Updated
With good data coming from the US, and Yellen just a hair shy from categorically stating a rate increase in December, the USD rallied across the board on Wednesday.
Because of that, we were left behind from our setup here:
It is now unlikely for the price to go back to 1.0950. So I am now looking to enter at 1.0900 support->resistance. There is some likelihood of getting left behind as EUR is too weak right now. But I might enter short earlier depending on the time and how the EUR reacts to news coming from the UK today.
I have also revised the target as the NFP might produce another 100+ pip rally for the USD. The target is now 1.0700 for a 1:6.5 instead of 1.0800. I have also tightened the stop loss to just +30 pips.
Because of that, we were left behind from our setup here:
It is now unlikely for the price to go back to 1.0950. So I am now looking to enter at 1.0900 support->resistance. There is some likelihood of getting left behind as EUR is too weak right now. But I might enter short earlier depending on the time and how the EUR reacts to news coming from the UK today.
I have also revised the target as the NFP might produce another 100+ pip rally for the USD. The target is now 1.0700 for a 1:6.5 instead of 1.0800. I have also tightened the stop loss to just +30 pips.
Trade closed: stop reached
I didn't take the buy when the news came out that the vote is still 8-0-1. BOE also lowered their CPI forecast for next year. This confirms a slowdown in UK's recovery and it might take a toll on the GBP until the 2nd half of 2016.I just scalped the news for a sell.
Trade active
Stupid, I commented on the wrong idea. :DNote
As GBP crashes, EUR is gaining some strength which would hopefully reach for my target entry.Trade closed: target reached
Though the ideal entry point wasn't hit, I was able to enter earlier at 1.0880 with a +40 pip stop loss. I was ready to close if the NFP disappoints, but when the squawk announced 271k, the trade was sealed. I closed 1/3 of my position at +170 pips for a 1:3 profit leaving 2/3 for the long haul. I am expecting EURUSD to go down even further as the December rate hike becomes even more likely.
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