Trading tips for EUR/USD

Following the weak US inflation data, which prompted a 1,200-pip increase in EUR/USD, the pair entered consolidation with clear boundaries. A false breakout of the upper border - 1.06400 - could push it towards the first target at 1.06.

Of course, the main target is still the level of 1.04400.

This is 2,000 pips away from the current level and has a risk/reward ratio of 20:1.

To reach this, traders should take short positions in the market, with stop-loss at 1.06423. Exit upon the breakdown of 1.04400.

This trading idea is based on the "Price Action" and "Stop Hunting" methods.

Good luck and have a nice day! Don't forget to control the risks.