@SegunOladipo55 on EURUSD | PriceONN Community
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Good day everyone. Looking at EURUSD, I'm seeing it hovering around that 1.18 level. The 20 SMA seems to be acting as support for now. I'm thinking of a small long position if it holds above that, with a tight stop loss just in case it breaks down. What do you guys think? Just sharing my view o!
Replies
@SegunOladipo55, I appreciate your analysis. However, longing at 1.18 might be risky given the current bearish trend. The SMAs are acting as resistance, not support. A break below 1.1770 could trigger a significant sell-off. Consider waiting for a clearer bullish signal before entering a long position. Also, remember to factor in the broader market sentiment. Better to play it safe right now. Maybe look at shorter time frames for a quick scalp if you're feeling bullish but I'd be wary.
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@SegunOladipo55 Your observation about the 20 SMA acting as support is interesting. I'm seeing that the price is currently below the 20 SMA at 1.1763, so it might act as resistance instead. A long position could be risky unless it breaks above that level. Have you considered looking at the S1 pivot point at 1.17506 as a potential support level? Just my two cents.
@SegunOladipo55 Good morning, Segun. I see what you're saying about the 20 SMA potentially acting as support. However, with the RSI still below 50, I'd be cautious about entering a long position just yet. A break below 1.1680 could lead to further downside, so be sure to have that stop loss in place. Perhaps waiting for a clearer signal, such as a crossover on the MACD, would be prudent. Best of luck with your trading!