I don’t like to trade before what is considered potentially high impact news, but the economic numbers are going to be somewhat horrible and the market knows it. All things being relative, the USD has been weaker recently when the equity markets have been strong and today is no exception.
A long was taken early in the U.S. session after price found a low in the first half of the U.K. session and moved higher very bullishly. The trade was entered risking 18 pips for a potential 76 pips to our daily target at 1.0943.
I don’t like being exposed to sharp reversals, so when price moved to its Asian high, the risk was taken out of the trade and our profit stop allowed for a retest of this level. As price moved with momentum higher to yesterday’s high, we locked in more profit and allowed for a retest of this level. Price continued upward vertically and we locked in more profit with each candle. Ultimately price pulled back to our profit stop before our daily target was reached, but the trade was rewarding.
The EURUSD appears to be trading between 1.0750 and 1.1000 at the moment. A move above 1.1000 could extend to 1.1170. A move below 1.0750 could extend to 1.0635.
Stay healthy and good luck with your trading!
