EUR/USD Analysis 11 August

Weekly Trend direction: Bullish

Weekly trend reversal level: 1.3040

Key G7 support levels: 1.3100, 1.3040/50

Counter-trend and scalping opportunities:

Strategy: Whilst above the weekly trend reversal level buy dips to support levels after an entry signal.

Today’s trade suggestion:
August chop already seems to have set in, with Friday’s NFP gains already wiped out, and nasty swings yesterday. We haven’t managed to get into any Euro trades this week so far, and just as well – bullish attempts would have been stopped out. For today, we’ll look to buy the euro into dips with just two support levels left beneath us: 1.3100 (yesterdays support low) and 1.3040/50 (the weekly reversal level and the 78.6% retracement of the last swing rally) Be careful of whipsaw, and don’t be in a rush to enter this market today. With over 300 pips in the bank already this month, I am willing to be VERY patient.
Summary: Buy dips to support levels listed above after a clear G7 entry signal. If we drop below the weekl reversal level at 1.3040. Stay out.