Technical Take:
If we take a look at the daily chart of the EUR/USD cross we can see a head and shoulders pattern forming. As the dollar index rises in value we can see the EUR/USD move lower as the dollar strength increases against the EUR.
The head and shoulders pattern is currently in formation and has not completed and given a signal to place the trade. The more adventures trader will start trading as the pattern nears completion but I will only trade as soon as the price closes below the neckline.
Trade Summary:
- DIRECTION: SELL (SHORT)
- ENTRY: 1.1638
- STOP: 1.1880
- TARGET PRICE 1: 1.1479
- TARGET PRICE 2: 1.13.36
Always remember to apply your risk management measures before placing your trades as this will keep you trading in the markets.
Read more notes by Barry HERE.
All charts sourced from Bloomberg
Barry Dumas | Trading Specialist at GT247.com
Disclaimer: Any opinions, news, research, analyses, prices, or other information contained within this research is provided as general market commentary, and does not constitute investment advice. GT247.com will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information. The content contained within is subject to change at any time without notice, and is provided for the sole purpose of assisting traders to make independent investment decisions.
Want to trade CFD Equities, Forex, Indices & Commodities on the most affordable online South African trading platform?
GT247.com: +27 87 940 6101
IT support & help desk: +27 87 940 6107
Client relations (new accounts): +27 87 940 6106
Sales: +27 87 940 6108