EURUSD LONG NOW!Dear traders,
So as you can see we expect EURUSD to go long. We think it will go long because the markt is now in a strong daily demand zone. If you look at the chart you will see it is in an uptrend, the uptrend only created demand zones, It will go up to the grey area of supply.
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Eurusd4h
EURUSD Long SupportHere on this 4HR chart, we are pretty much back at our support levels on this pair.
While price had been selling off, you can see that volume had also been decreasing. Indicating bears may be running out of steam.
If you look at the RSI, MACD & Stochastic and pair it with current price action, you can see that they are showing bullish hidden divergence as price is currently trending up.
A long at the grey highlighted box (Trend line) would make an ideal area to long this pair to 1.13900 where our resistance line is drawn & a stop of 1.12850 below the previous lower high makes sense. Since today is Friday, we'll wait til market re-open to make any possible moves.
EURUSD Short Term Short near 1.2360 - 1.2385 RegionEURUSD last week was showing a strong upwards movement at the beginning of the week, a strong support was found at the 1.2310 region and thus EURUSD managed to rise again at the beginning of this week (16/4/2018). However, a quite stop at 1.2410 region and EURUSD start to move sideways by then, a strong indication of buying power had been consumed.
With the following details that I've noticed in H4 chart as below:
1. Divergence at MACD & OsMA.
2. Volatile trend.
3. Short Term Resistance near 1.2360 + Supply ZONE.
At last, I'm gonna hold this trade for no more than 2 days with trail stop by around 40 pips.
Moving With The Aussie!Entered into a long position with the Aussie Dollar this morning (as per my previous analysis) and knowing EURUSD moves in conjunction the analysis lined up for a long position on this pair also. Stop loss now at break even and looking at shifting it into profit as it reaches the higher levels later today.
EURUSD 4hr tf analysisThe original link I posted for the EURUSD can be found below:
I have decided to use the Elliott wave principle in this post to analyze the EURUSD.
Price action above can be described by a 3 wave move in what seems to be shaping up as an expanded flat (3-3-5) Elliott wave structure. We are currently finishing intermediate wave C which implies that the sell off is not yet complete.
The target area that I favor for the EURUSD to find support is Support 3 ( between 1.21233 and 1.21396) because this support region coincides with Intermediate wave C i.e. wave (C) ~ = 138.2% intermediate wave (A), which is acceptable.
Once the move is complete to Support 3, the EURUSD should move back up as an impulse move or another 3 waves move back upwards.
Since both scenarios point upwards, I will look for an entry point to go long IF the EURUSD hits support 3 and holds in the support region.
My least target would be Ceiling 2 which is between 1.25326 and 1.25329
EURUSD- Short tf (4hr) analysisThe EURUSD has being in a bullish trend since December 25 2016 (based on the Weekly tf) and the trend should resume albeit the temporary sell off as shown on the 4hr tf.
For the 4hr tf, I have shown the evolution of the trendline for price action with Trendline 1 being the major trendline, while Trendline 2 is a more recent and steeper trendline. Trendline 1 is therefore stronger than Trendline 2.
I have marked 3 areas in light green where the market offers support for the EURUSD
The actual number derived based on price projection (y axis) for the different support areas are given below:
floor 1: 1.23906 and 1.23960
floor 2: 1.23561 and 1.23599 (this intersects Trendline 2 so it is does offer a strong support for the EURUSD)
floor 3: 1.22977 and 1.22959 (This intersects Trendline 1 so I will consider floor 3 stronger than floor 2)
If EURUSD breaks via floor 1 then look for floor 2 to possibly provide support and if it doesn't then floor 3.
I have also marked Ceiling 1 and Ceiling 2 on the chart. These are resistance areas for the EURUSD and the range for each "ceiling" is given below.
Ceiling 1: 1.24874 and 1.24894
Ceiling 2: 1.25326 and 1.25329
P.S. Ceiling 3: ( I could not mark this on the chart as it is still a bit far away): 1.26107 and 1.26225
Most conservative trade : Wait for price action to move above the most recent high (i.e. 1.25568) and buy the BREAKOUT!. Your take profit area would be 1.26107 (the lower range of Ceiling 3). Your SL will be calculated based on how much you are willing to risk on the trade for this set up.Generally anything that offers a risk/reward of >3:1 is good.
Slightly Aggressive approach If price attempts to break above 1.24603 and then SL will be just under the lower range of floor 1: E.g. 1.23877
MOST Aggressive approach BUY as soon as the market opens and put your SL just below the lower range of floor 2. So maybe 1.23531
I like using 3 Moving averages and my personal preference is for the 40 EMA, 21 EMA and 9EMA. I use the slope of these 3 EMA's a a great way to also determine the trend. Currently, all 3 Moving averages have a rising slope so there is no reason to believe that the bullish trend in the EURUSD is over. A close in price action below Trendline 2 and also the 3 EMA's having a negative slope would make me REALLY consider my bullish bias for the EURUSD. If not, the EURUSD should remain bullish.