FX.co ★ Trading tips for EUR/USD

Powell's less hawkish rhetoric yesterday weakened dollar demand, which led to a strong rally in risky assets, including euro. This means that traders could consider long positions when entering the market.

Since there is a three-wave pattern (ABC) in which wave A represents yesterday's bullish pressure, players can enter the market by buying up to the 50% and 61.8% retracement levels, as shown in the picture above. Set stop-loss at 1.03, then exit on the breakdown of 1.05.

This trading idea is based on the "Price Action" and "Stop Hunting" methods.

Good luck and have a nice day! Don't forget to control the risks.