The pullback seems complete on the H1 chart

Buying the Pullback in EUR/USD at the 100 SMA

Posted Monday, July 20, 2020 by
Skerdian Meta • 1 min read

EUR/USD has been quite bullish since the middle of May. EUR/USD buyers got excited afte comment about the coronavirus recovery fund from the EU. EUR/USD has been bullish since then, climbing around 7 cents higher from the bottom.

During the second half of June, we saw a slight pullback lower, which looked more like a consolidation, before the bullish trend resumed again this month. Pullbacks lower on the H4 chart during this time have presented EUR/USD traders with some good buying opportunities.

Moving average have been providing support, since early July, particularly the 100 SMA (green). Today we saw another pullback lower to this moving average on the H1 chart, but it held as support once again.  The price forme da doji candlestick above the 100 SMA, which is a bullish reversing signal and now it should bounce higher. We decided to go long here, hoping that the EU will strike a deal regarding the coronavirus recovery fund.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
Related Articles
0 0 vote
Article Rating
Notify of
Inline Feedbacks
View all comments