jevanss25

EURUSD Short term Short

Short
jevanss25 Updated   
OANDA:EURUSD   Euro / U.S. Dollar
So there are a few factors in play here for EURUSD

Short Term - Short
1) I will be looking for Short opportunities as the pair is touching a long term area of resistance
2) As per the chart EURUSD has seen a fairly rapid rally to get to this point, so a pull back on the lower time frames should be expected
3) EU Summit over the weekend (17th - 19th) has thus far failed to reach an agreement over EU Stimulus for member states most effected - "we made not enough progress to reach an agreement," Greek Prime Minister Kiriakos Mitsotakis said today NOTE - IF AN AGREEMENT IS REACHED THIS ANALYSIS WILL BE INVALID

4) New US Stimulus package coming into play likely next week with $1200 - $2000 per head (also expected to be more wide ranging with no $40,000 cap as previously expected)
5) Because price is at major resistance it makes for an attractive Risk to Reward Ratio (2.5 - 2.75 TP1 .... 4.00 TP2 )


Comment:
Just to be clear we will only take trades based off price action - while I am looking for shorts, I will await confirmation on lower time frames to validate this analysis.

Take trades once the trend shows itself
Comment:
We are still awaiting price confirmation for a downward move.

Euro is stronger than expected this morning as The Dutch PM hinted progress was being made in the EU Summit (note Dutch PM is leader of 'frugal four' - who oppose wide ranging stimulus for poorer member states)
Comment:
Starting to see upward price rejection on the 1hr time frame (past 6hrs)

Hopefully this is indicating that the EUR rally is done, and moves to the downside will begin.

BE PATIENT - Wait for the trend to start
Trade active:
We are in with a sell and average price of 1.1448

Hoping to scale more into this trade if the downward trend continues
Comment:
We are still active in all trades -
Comment:
EURUSD - could move up from here as per the below

BRUSSELS (Reuters) - European Union leaders appeared to be nearing agreement on a massive stimulus plan for their coronavirus-blighted economies on Monday after the chairman of their fractious four-day summit presented a new proposal to bridge gaps between them.
Comment:
EU STIM deal agreed in the early hours of this morning.

While stocks have risen, the EUR hasnt experienced such rapid gains - potentially due to the frugal four ensuring more of the stimulus is via cheap loans than grants, which many nations wanted.
Trade closed: stop reached
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