FX.co ★ berta.hill | EUR/USD

EUR/USD H1: Limited Rebound and Sell Opportunity in the Resistance Area

Based on the EUR/USD H1 timeframe chart, the price is currently around 1.1531, after previously experiencing a sharp drop from the 1.1550–1.1560 area. The latest movement shows a rebound from around 1.1524–1.1525, but this rise still appears to be a correction as long as price has not been able to break through key resistance. Price is also still below the red and blue moving average lines, so short-term bearish pressure still needs to be taken into account. The price structure on the right side of the chart shows a fairly aggressive decline after price failed to hold the 1.1550 area. A large bearish candle pushed EUR/USD down to 1.1525, followed by several small candles indicating buyers’ attempts to recover. However, this rebound has not been strong enough to change the bearish structure. Therefore, the 1.1534 to 1.1545 area can become an important zone to watch for trade opportunities. The main trade plan is SELL. A sell entry can be considered when price rises back to around 1.1534–1.1540 and bearish rejection signs appear on the H1 timeframe or a lower timeframe. A stop loss can be placed around 1.1550–1.1555, because a move above that area would indicate that selling pressure is starting to weaken. The first target can be set at 1.1525, while the next target is around 1.1515–1.1510 if bearish momentum continues. The sell scenario should not be executed directly just because price is at 1.1531. It is safer to wait for a pullback toward resistance and ensure there is bearish confirmation. If price instead manages to break and close the H1 candle above 1.1545, the sell scenario needs to be postponed because there is a possibility of a reversal toward the 1.1555–1.1565 area. In that condition, traders can wait for price to retest 1.1545 before deciding on the next trade direction. For the alternative scenario, BUY only becomes more attractive if price is able to break the 1.1545 resistance with a strong candle and supporting volume or momentum. The upside target can be set at 1.1555 and then 1.1565. The stop loss for the breakout scenario can be placed back below 1.1535, with adjustments according to volatility. Overall, the current H1 chart is more attractive for a sell-on-rally strategy than for chasing sells at the running price. The 1.1534–1.1545 area is the main observation zone, while 1.1525 is the nearest support. Traders should manage risk per trade with discipline and avoid increasing position size just to chase targets. Candle confirmation remains important because EUR/USD can move quickly when there are economic data releases from the United States or Europe. Trade summary: SELL 1.1534–1.1540, SL 1.1550–1.1555, TP1 1.1525, TP2 1.1515–1.1510. If price breaks out and holds above 1.1545, cancel the sell scenario and reassess BUY opportunities after a retest. This analysis is a technical reading of the chart, not a guarantee of trade results.