Welcome to my trading journal update. I hope you all are fine and make a good amount of profit from the market. The dollar index price is fluctuating in its strong support zone below 93.60, putting more upside pressure on the EUR/USD and GBP/USD pairs. The cost of the GBP/USD pair is making strong bearish movements after the release of the CPI data and breaking the trend line at 1.3740 and then reversing sharply to the current price level at 1.3830. I had some short positions starting at 1.3800, and I set a target area below 1.3700, but the price will not reach that area, and the daily candle will go up towards 1.3820. If the price can test the actual level of 1.3880 today, we can expect the next crossover at 1.3960 on the resistance trend line.
I had a few sell trades floating on the GBP/USD pair, and the price will reach the support zone 1.3740, but it will not reach the take profit level. After the price reversal above 1.3830, I decided to close all these trades with a loss of over $43. Now focus on the following breaking trend line above 1.3880, then open further buy trades in the trend direction with a long-term exit target zone of 1.3950.
Today, we have the "Unemployment Claims" medium-impact news event for the USD currency, significantly impacting the market. We must focus on the price action moves and then execute trades on the related currency pairs.
The EUR/USD is trading around the 1.1650 regions, which will confirm the continued rally in the prices, and the big moves will test the higher swing area at 1.1700. I decided to open a long position after breaking the new trend line at 1.1650; if the price passes through the first resistance channel 1.1680 in the first trading session, it will rise to the potential area at 1.1750. If the price starts declining and breaks the support at 1.1590, the sellers will remain in the market and try to break through the next descending channel at 1.1550. The current stability and the dollar's weakness will push the price higher, and we have to wait for the break of the trend line in the range between 1.1660-1.1700. Then it traded at the physical level of 1.1790.
I had a few buy trades floating on this pair with 0.20 lot size if price can reach the first resistance channel 1.1700, then closed a few trades with profit and then waited for the following breaking trend line 1.1750 to grab more pips from the market. If the price rejects the resistance and starts declining, then wait for the 1.1570 level and open more buy trades to recover the losses.