Trading ideas: Profit taken on EURUSD long
|The GBP/USD rallied to two-month highs on forecast beating British retail sales data and growing optimism that Britain and the European Union are making significant progress towards a Brexit deal at an EU leaders summit. We keep our buy-on-dips strategy.
We have also taken profit on EUR/USD long. The Federal Reserve is next week expected to raise benchmark borrowing costs and shed more light on the future rate path. But we do not think this will change medium-term EUR/USD trend. We have placed another EUR/USD bid.
This is how MyFXspot.com trades now:
EUR/USD
Trading strategy: Buy
Open: 1.1645
Target: -
Stop-loss: 1.1570 (raised from 1.1450)
Recommended size: 2.67 mini lots per $10,000 in your account
Short analysis: Profit taken at 1.1750, earned: 200 pips, $400 per $10,000 in you account. EUR/USD bulls broke above the August 1.1734 peak, which opens the way to the 1.1780 Fibonacci level. 1.1780 Fibo is a 38.2% retrace of the 1.2556 to 1.1301 fall. We have placed a new bid at 1.1645 level in anticipation for a bullish resumption.
GBP/USD
Trading strategy: Buy
Open: 1.3130
Target: -
Stop-loss: 1.3020
Recommended size: 1.36 mini lots per $10,000 in your account
Short analysis: So far we have seen no negative fall-out from Wednesday's major candlestick doji. A bid returns and bull run resumes. We still see scope to 1.3363 and continue to favour a buy on dips strategy.
USD/JPY
Trading strategy: Await signal
Open: -
Target: -
Stop-loss: -
Recommended size: -
Short analysis: USD/JPY has failed to close above the key 112.38 Fibonacci level twice, a 76.4% retrace of the 113.18 to 109.78 (July to August) fall, on Tuesday and Wednesday. This failure is weighing heavily on USD/JPY.
USD/CAD
Trading strategy: Short
Open: 1.3065
Target: 1.2795
Stop-loss: 1.2970 (lowered from 1.3200)
Recommended size: 1.44 mini lots per $10,000 in your account
Short analysis: The pair broke below the 76.4% Fibo of 1.2887-1.3225 rise (1.2967). Our short is in good shape now. We have locked in profit at 1.2970.
AUD/USD
Trading strategy: Buy
Open: 0.7235
Target: -
Stop-loss: 0.7135
Recommended size: 1.50 mini lots per $10,000 in your account
Short analysis: Pair climbs above the 21-day moving average and clears 0.7230/40 resistance. RSIs are biased up and a monthly bull hammer candle is forming. Bull sentiment is elevated. A bid is placed at 0.7235.
EUR/GBP
Trading strategy: Await signal
Open: -
Target: -
Stop-loss: -
Recommended size: -
Short analysis: The EUR/GBP is below its daily cloud and attempting to hold a break under the 100-day moving average (0.8865). Daily negative momentum increasing but stochs yet to reflect price weakness. We stand aside.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.