EURUSD Complete Analysis

Euro Flag

In the last few weeks I’ve been following the EURUSD very closely because of two reasons:

  • I know most of you like to trade it because of its low spread
  • In the last few weeks it’s been trading in a clear market condition

I don’t care much about the spread, you know I prefer to trade a currency pair with a larger spread but a clearer market condition, than a pair with a smaller spread and a not so clear market condition.

It’s all about the second point, in the last few weeks its been trading in a very clear market condition.

What do I mean by this?

It means that it has clear S&R levels and it’s been reacting to them on a consistent basis.

And you know what, that’s all we need to trade.

If it has clear support and resistance levels we know where the market is likely to get rejected, therefor we now where to place our entries, SL and TP orders…

Please tell me you agree with me.

EURUSD long term analysis

Here is my chart:

EURUSD Long Term Analysis

You see how the EURUSD it’s been reacting to the S&R levels, that’s like gold for us.

Ok, so it was rejected from an important support level, now I know it is likely to continue its way up. At least until it reaches its next LT resistance level around 1.3400.

Sometimes we like to overcomplicate things, but it’s not necessary. If the market is going up, just look for longs, if its going down just look for shorts.

Do you agree with me?

EURUSD short term analysis

And here is my short term chart:

EURUSD Short term analysis

Right now my main trading plan for the EURUSD would be to wait for the market to retrace back to the short term support level.

That’s because we dont have a clear short term resistance level yet.

Your turn

What do you think about my EURUSD Analysis?

What is the currency pair that you trade the most? Is it because of the spread?

Let me know in the comment section.

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Raul Lopez

I've been trading the markets for more than 15 years. I believe the best way to trade is by adapting to the market conditions. You can learn it too, join our community .

  • tp

    For ST chart, are you using H1 or M15?

    • Raul Lopez

      Most of the time I use the hourly chart, not sure about this one though…

      I promise to add a label about its timeframe on each chart…

      Sorry about that!

  • rod regis

    that was great analysis,perfect as it is! thank you so much sir Raul for sharing your wisdom.

    • Raul Lopez

      Hey Rod, I’m glad it was useful!

  • Himanshu Dutta

    absolutely strategic entry as usual ! i agree with all your words @rlpartida:disqus

    • Raul Lopez

      Thanks Himanshu… good to see you here.

      The market has been a little slow though!

  • Konni Rocks

    Thank you Raul for your great endeavor to spread the simplicity of the price behavior. With your educational program I completely changed my system and adopted many of your ideas to create my own (much better than before) strategy! And I’m proud to see that I made the same analysis as you before you posted it :-) Greetings from Germany

    • Raul Lopez

      Hey Konni, I’m glad my articles/analyses have been helpful… SIMPLE rules!!!

      Congrats on your analysis, we’ll se what happens tomorrow, remember there an important announcement: Bernanke’s speech…

      We’ll see what happens

      Good luck!