FX.co ★ Jackroay | EUR/USD

I observe that the recent price pullback does not yet give me clear confirmation that the broader uptrend has fully resumed, and I remain deliberately cautious in my interpretation of current EURUSD market behavior. I recognize that it is only Monday, and I understand from experience that the early part of the trading week often produces false breakouts and misleading signals. I remember clearly that the downside move at the end of last week was strong, impulsive, and emotionally driven, and I believe that such selling pressure cannot simply disappear without leaving structural consequences. I see that buyers have regained initiative at the start of the new week, and I acknowledge that this shift has allowed price to push higher and challenge important technical zones. I notice that buyers are actively trying to keep price above recently recovered areas, and I interpret this behavior as an attempt to build a foundation for further upside continuation. I note that resistance at 1.1663 has been broken, and I consider this event significant because it alters the short-term market structure. I observe that price has consolidated above this level rather than immediately rejecting it, and I read this as a sign that the market is beginning to accept higher prices. I expect that a small corrective zigzag to the downside could occur, and I believe such a move would be both logical and healthy within a developing bullish scenario. I remain open to a retest of the 1.1663 zone, and I see this as a normal technical process rather than a bearish signal. I believe that if buyers successfully defend this area, confidence could increase and attract additional participation. I also acknowledge that sustained acceptance above this level could allow price to gather momentum toward 1.1700 and potentially beyond, although I remain mindful of elevated volatility typical at the start of the week.

I state clearly that despite these bullish developments, I have already opened a short position with intentionally small volume, and I emphasize that this reflects my disciplined and cautious approach. I explain that I placed my stop-loss beyond the intraday high at 1.1698, and I believe this level is technically justified based on recent price reactions. I have defined my first take-profit target at 1.16525, and I view this level as realistic due to nearby liquidity and short-term structure. I plan to move two positions to breakeven once this target is reached, and I believe this adjustment will effectively reduce risk while keeping downside potential open. I intend to hold remaining positions toward last week’s low at 1.1618, and I see this area as a natural magnet if selling pressure resumes. I manage my third position more aggressively, and I aim for an extended target near 1.1570, which aligns with a deeper corrective scenario. I fully accept that if my stop-loss is hit, it simply means the setup failed, and I view this as a normal part of professional trading rather than a mistake. I continue to monitor the market for fresh sell signals, as I remain convinced that the short-term downtrend is still technically valid despite today’s bullish momentum. I recognize that price could still push above 1.1730 if buyers remain aggressive, and I accept that such a move would force me to reassess my bias. I conclude that if the market structure decisively shifts bullish, I am prepared to abandon sell ideas and begin seeking buy opportunities, and I remain ready to increase volume strategically to compensate for previously unprofitable positions while maintaining strict risk control.