Today’s trading technical analysis (tips) for EUR/USD 1 June 2011, we recommend, Accumulate EURO i.e enter long position (Sell) in EURUSD above 1.4445 for target of 1.4495 and 1.4525 also place protective stop loss below 1.4425.
Reason to trade long: The EURUSD pair has bounced from the 1.40 levels and we are sure that the pair has gained enough momentum and is ready to resume its up move. Again targeting the 1.50 zone in short to medium term. Also the fundamentals suggests to buy EURO as the Greece debt is no more issue for ECB, we believe the pair must continue its journey towards its initial target of 1.47 first and then the 1.50 level. The current trend might be consolidation but we are bullish on EURUSD for short term. So for now we will be only looking for buying opportunity in this pair for our initial target of 1.47 level. For intraday traders we will suggest to enter long positions only. If we look at technical indicators, RSI is now well directed and is showing bullish trend and suggest for entering long positions only as seen on 4 hour chart. Also we advice traders to keep their stop loss with 1:2 risk reward ratio. We can see further strengthening in EURUSD pair.