EURUSD Bearish Pin Bar Re-Exposes 1.1830 Support

by Justin Bennett  · 

May 15, 2018

by Justin Bennett  · 

May 15, 2018

by Justin Bennett  · 

May 15, 2018

Important: I use New York close charts so that each 24-hour period closes at 5 pm EST.

Click here to get access to the same style charts I use on this website.

Last Friday I discussed how EURUSD bulls were attempting a reversal above 1.1930. The area was a key pivot for the single currency between November 2017 and January of this year.

Then on Sunday, I mentioned how Friday’s close wasn’t convincing enough to call it one way or the other. Buyers did manage to end the week above 1.1930, but as you may well know these levels are better thought of as areas or zones.

That puts this area between 1.1930 and 1.1940. Notice the May 2 low at 1.1937 along with the May 8 high at 1.1938.

One way to get a feel for where bids and offers are positioned is through the use of pin bars, or long-tailed candles. Yesterday’s bearish pin bar from the 1.1930/40 area is a perfect example.

I pointed this out to Daily Price Action members on Monday at 4 pm EST, just one hour before the New York close. Today’s price action illustrates the significance of yesterday’s rejection from 1.1930/40.

Furthermore, we saw just a few moments ago how the EURUSD encountered a few buyers at 1.1830. This was the support level I pointed out on Sunday.

I’m short from Monday’s bearish pin bar just above 1.1930. I’ll be interested in adding to the position should sellers manage a daily close at 5 pm EST below the 1.1830 handle.

Key support below that comes in at 1.1710/15 followed by 1.1575. However, the distance between the current price and the 10 and 20 EMAs (mean) suggests that we could see some consolidation above 1.1830 before the next leg lower.

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EURUSD daily time frame

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  1. In my time zone I’m able to trade both the London and New York sessions without losing any sleep. Should I wait for the New York session to commence before placing positions after key levels were breached (on New York close charts) or should I just go ahead and open positions in the first available session, namely the London session? Thanks

  2. thanks so much last night after the news i went short on eurusd though this morning eur pairs were reversing

  3. Hello! justin! Thanks for excellent setups. i m still holding my selling position. Can i wait for further down? current price is 1.1780 or book profit now?

  4. “Adding to the position” does this mean a new trade? With the old closed? Or a second open position? If a second opened position,where would stop loss be set?

  5. i’ve been holding a short position on the eurusd through my anaylses on d1 and mn time frame. ive been profiting since then. am new in your group and the stuff you share with the fellow member are usefull

  6. Justin thanks for this great work. Now it seems like the buyers are pushing it and finally sustained it within the 1.162s, what do you think.. Still expecting a gradual buy to 1.19s or drop back to the 1.160s.. What’s your take on this considering where the Monday candle closed too.. Thanks

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