EUR/USD Forex Signal: Falling On Stronger Dollar

The technical picture now remains confused.  was not triggered as there were no reversals when any of the key support or resistance levels were first reached. Today’s EUR/USD SignalsRisk 0.75%.Trades may only be entered before 5pm London time today.  Short Trade Ideas

 Long Trade Ideas

The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a , a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the  that occurs at the given levels. EUR/USD AnalysisIn my previous analysis of , I wrote that we were likely to see a continuing consolidation today, meaning that all the support and resistance levels were quite likely to hold. I was right about a general lack of direction, but I was very wrong about the levels holding.The technical picture now remains confused. We have seen a long-term bearish trend in this currency pair, but then we saw a strong upwards movement a few days ago as the US Dollar weakened firmly towards the end of last week, while the Euro was one of the relatively strong major currencies. This pushed the price up to the point where it can be argued that the downwards trend is over.After reaching a high above $1.0750 yesterday, the price has started to decline, as the US Dollar finds some renewed strength.It is unclear whether the support level at $1.0668 will be reached today, but it looks likely to be the day’s pivotal point. Therefore, one strategy could be to take a long scalp at any bullish bounce there and to monitor the trade carefully.Alternatively, if we get two consecutive lower hourly closes below $1.0668, the price would have room to fall further to the next support level at $1.0611, so entering a short trade at that point might make sense.(Click on image to enlarge)More By This Author:BTC/USD Forex Signal: Bitcoin Forecast As A Bullish Breakout NearsAustralian Central Bank Raises Cash Rate To 4.35%, Australian Dollar SinksGBP/USD Forex Signal: Rally Stalls But More Upside Highly Likely