FX.co ★ Trading idea for EUR/USD

EUR / USD closed with a pin bar last Friday, around which sellers have been accumulating stop losses for two weeks (behind 1.9900 and 1.2000).

Taking this into account, the most profitable transaction would be buy positions, the strategy for which is presented below:

Since the euro formed an ABC pattern, where wave A is the bullish initiative last Friday, traders can open long positions in order to set off a 50% retracement from 1.19.

Place limit at 1.18800, and then take profit as soon as the quote reaches 1.9900-1.2000.

Of course, risks should be monitored to avoid losing money. Trading is very precarious, but profitable as long as the strategy used is correct.

The plan above follows the classic Price Action and Stop Hunting methods.

Good luck!