News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Mixed
Oil - US Crude
Bullish
Wall Street
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bullish
GBP/USD
Mixed
USD/JPY
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM7kO6a https://t.co/nB2f5m56nq
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/Q0yRRpMpPX
  • Emotions are often a key driving force behind FOMO. If left unchecked, they can lead traders to neglect trading plans and exceed comfortable levels of risk. Read on and get your emotions in check here: https://t.co/eILWbFgHRE https://t.co/pSeSiNnmHe
  • There are three major forex trading sessions which comprise the 24-hour market: the London session, the US session and the Asian session. Learn about the characteristics of each session here: https://t.co/reRmDe1Ksp https://t.co/iVOEuK40rn
  • Implementing a trading checklist is a vital part of the trading process because it helps traders to stay disciplined, stick to the trading plan, and builds confidence. Learn how to stick to the plan, stay disciplined, and use a checklist here: https://t.co/SQUCCYRCIk https://t.co/ltEO5dpKux
  • WTI crude oil is currently trading up against major resistance via the 2019 and 2020 highs within the confines of a channel; something has to give. Get your market update from @PaulRobinsonFX here: https://t.co/MO9foRjm2y https://t.co/YhBFdvZDEb
  • The Dow Jones and S&P 500 outlook appears bleak in the near term as retail traders increase their upside exposure. At the same time, these indices confirmed bearish technical warning signs. Get your market update from @ddubrovskyFX here:https://t.co/fKCHELbOxo https://t.co/eVDwmFTaIg
  • Use this technical analysis pattern recognition skills test to sharpen your knowledge: https://t.co/Qgz89PTxnu https://t.co/8B8hqHahm1
  • The US Dollar finished off an eventful week after CPI and retail sales injected volatility into markets. FOMC is now in the Greenback’s sights as taper talks linger. Get your market update from @FxWestwater here: https://t.co/MHi0lfQ93j https://t.co/4XetwYAaNd
  • Get your snapshot update of the of market open and closing times for each major trading hub around the globe here: https://t.co/BgZLFljIhZ https://t.co/ZZRLV0Wkea
Tightening Risk for EUR/GBP to Elliott Wave Key Level

Tightening Risk for EUR/GBP to Elliott Wave Key Level

Jeremy Wagner, CEWA-M, Head of Education

Last week, we set up an analyst pick trading around Sterling. The GBP/USD leg of the trade was immediately stopped out with a 100-pip loss. The EUR/GBP leg of the trade is well in the money by nearly 120 pips (and EUR/GBP pips are worth more than GBP/USD pips). Today, we want to tighten the risk level on the open EUR/GBP leg.

Short EUR/GBP

Shortly after writing the analyst pick, EUR/GBP finished its triangle pattern and began to correct lower. This would place the market in the (c) wave of an a-b-c bearish zigzag. The (c) wave should subdivide into five waves. It appears the first wave is complete and a second wave is currently underway. Bears will get another opportunity to short with a positive risk to reward ratio on the second wave partial retracement higher.

Why is a positive risk to reward ratio of 1 to 5 important, read about it in our Traits of Successful Traders research.

Tightening Risk for EUR/GBP to Elliott Wave Key Level

If this Elliott Wave labeling is correct, then EUR/GBP should remain below the beginning of the (c) leg’s high at .8982. Therefore, we will tighten the stop loss to the beginning of wave (i) at .8982. If EUR/GBP is successful in moving to new lows below .8755, then we will move the stop loss further down. Our first target remains at .8620 and a secondary target remains at .8406.

New to FX trading? We created this guide just for you.

Get started learning about Elliott Wave. Grab the beginner and advanced Elliott Wave trading guide.

Tightening Risk for EUR/GBP to Elliott Wave Key Level

---Written by Jeremy Wagner, CEWA-M

Jeremy is a Certified Elliott Wave analyst with a Master’s designation. Read more of Jeremy’s Elliott Wave reports via his bio page.

Discuss this market with Jeremy in Monday’s US Opening Bell webinar.

Follow on twitter @JWagnerFXTrader .

Join Jeremy’s distribution list.

Other Elliott Wave forecasts by Jeremy:

EUR/USD Elliott Wave analysis points to higher level.

Silver and Gold Downtrends May Have More Room to Run [Webinar recording]

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES