Barring any surprise from Brexit, the strategy to trade EUR/USD
remains the same - Buy the dip. One may ask, if we are looking for 1.1600 in EUR/USD
, 0.7600 in AUD/USD
and 0.7250 for NZD/USD
then why not just buy and hold it. Valid question but unfortunately the market condition we are in, doesn't really permit to just buy/sell and forget. We have to constantly monitor and massage the positions. So for Euro
, 1.1400 may bring another big failure and we have to be cautious. Instead of losing all the gains, it is better to buy good dip at support and then offload some at such resistance. If it breaks then we can always add at the retest. Support levels for EUR/USD
are 1.1300 / 1.1235-50 / 1.1200 / 1.1150 and 1.1100. During the dip, we will be looking at these levels closely and buy accordingly.