The chart below of the EURUSD pair is currently trending to the down side making lower lows and lower highs. If looking to trade EURUSD , traders should be patient and wait for price to push higher. Waiting for price to push higher above the equilibrium level (Black) and into the premium sell zone (Purple) will give the trade a better risk to reward setup. We expect the October 4 2022 high to hold and for price to reverse and continue lower on a push higher. When price enters the premium sell zone (Purple), traders should switch to lower time frames (15 Minute or 5 Minute charts) to refine a better entry and tighter stop loss. Traders can also use the October 4 2022 high as a stop loss or a soft stop/mental stop if can’t find a tighter stop. If price breaks below October 13 2022 low without pushing higher to the Premium Sell Zone (Purple) then the trade setup is cancelled.
EURUSD Daily Chart October 16 2022
A trader should always have multiple strategies all lined up before entering a trade. Never trade off one simple strategy. When multiple strategies all line up it allows a trader to see a clearer trade setup. We at EWF never say we are always right. No market service provider can forecast markets with 100% accuracy. Only thing we at EWF 100%, is that we are RIGHT more than we are WRONG.
Of course, like any strategy/technique, there will be times when the strategy/technique fails so proper money/risk management should always be used on every trade. Hope you enjoyed this article and follow me on social media for updates and questions> @AidanFX
At Elliottwave-Forecast we cover 78 instruments (Forex, Commodities, Indices, Cryptos, Stocks and ETFs) in 4 different time frames and we offer 5 Live Session Webinars everyday. We do Daily Technical Videos, Elliott Wave Trade Setup Videos and we have a 24 Hour Chat Room. Our clients are always in the loop for the next market move.
Try Elliottwave-Forecast for 14 days !!! Just click here –> 14 day trialBack