FX.co ★ EUR/USD: bullish outlook for May 01 , 2013 (daily strategy)

The euro managed to reach our first goal of the third level weekly resistance 1.3225, a level that we expected last Monday. As of today until Friday, there are some news that will have a strong impact on the euro. Thus, we should be cautious when trading this pair since it tends to react in the opposite way of what is expected. There is likely to be a setback at the bottom of the bearish channel that was broken at the 1.3155 level. The daily fractal area is key to test the bullish strength of this pair: if this level is broken, we recommend to leave the long position and wait for the 1.3030 level. In order to close the position, we place our stop loss at 1.3010 or 1.2970. Thus, we recommend to operate at low leverage and not be swayed by emotions.

If you need personal consultation, contact me via e-mail: gerardo.porras@analytics.instaforex.com