Trade Idea Wrap-up: EUR/USD - Buy at 1.1040

EUR/USD – 1.1113

Most recent candlesticks pattern   : N/A

Trend                      : Near term up

Tenkan-Sen level              : 1.1102

Kijun-Sen level                  : 1.1091

Ichimoku cloud top             : 1.1093

Ichimoku cloud bottom      : 1.1060

Original strategy  :

Buy at 1.1040, Target: 1.1150, Stop: 1.1005

Position : –

Target :  –

Stop : –

New strategy  :

Buy at 1.1040, Target: 1.1150, Stop: 1.1005

Position : –

Target :  –

Stop : –

As the single currency has maintained a firm undertone after this week’s rally, suggesting bullishness remains for recent upmove to resume after consolidation above resistance at 1.1126 would extend the rise from 1.0851 low to 1.1145-50 but overbought condition should prevent sharp move beyond 1.1175-80  and reckon resistance at 1.1205 would hold from here.

In view of this, would not chase this rise here and would be prudent to buy euro on subsequent pullback as support at 1.1059 should limit downside and 1.1030 should hold, bring another rise. Only below previous resistance at 1.0993 would abort and signal a temporary top is formed, bring retracement of recent rise to 1.0959 support later.

Trade Idea Wrap-up: EUR/USD - Buy at 1.1040