Hello everyone!

Here is a quick trade plan for EUR/USD longs.

I’ve been fundamentally bearish on the USD for a long time and I don’t expect a change in my bias anytime soon.

To aggravate the situation there’s an important development, which I consider to be KEY for my USD “bearishness”: History tells me that protectionism measures by US gvts aren’t keen to produce positive consequences for the USD and we have the example of the Reagan Administration and Bush’s Steel Tariff on 2002 to back that up. With this in mind, I’m also not expecting any real positive outlook for the USD, with Trump’s tariff on steel and aluminium.

Important: We have NFP on Friday, so caution is strongly advised by the end of the week.

If this post has no charts, please go to next one.

Let’s look at the technicals:

EUR/USD - H4

We are currently at "Role Reversal Country", with support sitting right on the WPP. I'm looking for an opportunity to enter long at that level. If I get to enter the Central, I'm targeting the WR2.

EUR/USD - H1

Our potential entry on the WPP is also the 38.2 fib level, which gives addicional arguments in favor our plan.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.