Trade Analysis and Trading Advice for the Euro

The test of the 1.1726 price level occurred at a moment when the MACD indicator was just beginning to move upward from the zero line, which confirmed a correct entry point for buying the euro. As a result, the pair rose by 10 points.

The limited flow of key macroeconomic reports from the euro area did not allow the euro to rise properly against the dollar in the first half of the day. In conditions of an information shortage, when there is not enough data for analysis, speculative sentiment dominates, which is clearly insufficient to move the market significantly.

Unfortunately, the second half of the day also contains no important economic events. However, it should be remembered that the absence of macroeconomic releases does not guarantee movement in one direction. In conditions of limited information, short-term speculation can significantly affect the current upward trend. For this reason, even with the currently favorable buying background, traders focused on EUR/USD growth need to be cautious and use risk management tools.

As for the intraday strategy, I will rely more on the implementation of Scenarios No. 1 and No. 2.

Buy Signal

Scenario No. 1: Today, buying the euro is possible when the price reaches the area around 1.1745 (the green line on the chart), with a growth target at 1.1772. At 1.1772, I plan to exit the market and also sell the euro in the opposite direction, aiming for a move of 30–35 points from the entry point. Strong euro growth can be expected only within a modest upward trend.Important! Before buying, make sure that the MACD indicator is above the zero line and is just starting to rise from it.

Scenario No. 2: I also plan to buy the euro today in the event of two consecutive tests of the 1.1727 price level when the MACD indicator is in the oversold area. This will limit the pair's downward potential and lead to a reversal of the market upward. A rise toward the opposite levels of 1.1745 and 1.1772 can be expected.

Sell Signal

Scenario No. 1: I plan to sell the euro after the price reaches the 1.1727 level (the red line on the chart). The target will be the 1.1704 level, where I plan to exit the market and immediately buy in the opposite direction (aiming for a move of 20–25 points in the opposite direction from that level). Strong pressure on the pair is unlikely to return today.Important! Before selling, make sure that the MACD indicator is below the zero line and is just starting to decline from it.

Scenario No. 2: I also plan to sell the euro today in the event of two consecutive tests of the 1.1745 price level when the MACD indicator is in the overbought area. This will limit the pair's upward potential and lead to a reversal of the market downward. A decline toward the opposite levels of 1.1727 and 1.1704 can be expected.

What's on the Chart:

• Thin green line – the entry price at which the trading instrument can be bought;
• Thick green line – the approximate price where Take Profit orders can be placed or profits can be locked in manually, as further growth above this level is unlikely;
• Thin red line – the entry price at which the trading instrument can be sold;
• Thick red line – the approximate price where Take Profit orders can be placed or profits can be locked in manually, as further decline below this level is unlikely;
• MACD indicator – when entering the market, it is important to be guided by overbought and oversold zones.

Important. Beginner traders in the Forex market need to be very cautious when making entry decisions. Before the release of important fundamental reports, it is best to stay out of the market to avoid being caught in sharp price fluctuations. If you decide to trade during news releases, always place stop-loss orders to minimize losses. Without stop-loss orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.

And remember that successful trading requires a clear trading plan, such as the one presented above. Spontaneous trading decisions based on the current market situation are an inherently losing strategy for an intraday trader.