Long time no see, traders! Haven’t contributed here in a while as I haven’t had any solid ideas that I could share. In any case, here’s my trade idea for the week! It’s a long-term setup, so I don’t think it’s for everyone.
EUR/USD, Daily
Long or Short: Short
Entry Point: Ideally 1.3000, but if it’s too far, 1.2900 is okay.
Stop Loss: 1.3050.
Profit Target/s: 1.2660
Reward-to-risk Ratio: Depends on the entry
Risk percentage: 2%
Indicators: Fibonacci
Trade Rationale:
After falling for many consecutive days, EUR/USD seems to be starting to retrace. It’s severely oversold so I think we have a good opportunity to sell once price retraces enough and tests significant Fib levels OR 1.3000. The area between the 38.2% and 61.8% is a good entry area.
I think traders will continue to sell the pair all the until June due to the possibility of a Greek exit.
Trade Adjustments: None