EURUSD: Hold Your Horses on Longs Until Uptrend Confirmation

26 may

The EURUSD is facing a critical resistance level where it has encountered selling pressure in the past. While the uptrend remains a possibility, entering long positions now might be premature.

Technical Analysis:

Resistance Hurdle: The current price sits at a significant resistance level. This zone has historically acted as a barrier, causing price reversals.

Trading Strategy:

Confirmation is Key: Avoid chasing trades at resistance. Look for a confirmed breakout above resistance or a shift in market sentiment before entering long positions. This could involve a bullish price pattern forming or a daily candle closing decisively above the resistance zone.

Alternative Approaches: Consider swing trading strategies or waiting for a pullback towards support before entering a long position with a tighter stop-loss.

Remember: Patience is crucial in trading. By waiting for confirmation and proper risk management, you can increase your chances of success in the EURUSD market.