empty
26.05.2025 03:12 PM
EUR/USD: Simple Trading Tips for Beginners – May 26th (U.S. Session)

Trade Review and Tips for Trading the Euro

The price test of 1.1397 occurred when the MACD indicator had just started to move downward from the zero mark, confirming a valid short entry point and resulting in a 15-point decline for the pair.

The euro experienced a brief decline due to fading optimism following Trump's announcement about suspending new tariffs against the EU. The market appears increasingly skeptical about the likelihood of a trade deal. Despite optimistic statements from both sides, investor confidence in a real compromise is waning. They likely take into account the complex internal political processes in the EU, where reaching a consensus among member states is a challenging task. Weak economic growth and the region's high dependence on exports push the EU to seek compromise but also limit its negotiating flexibility. Thus, the euro's decline reflects not only doubts about trade talks but also deeper issues facing the European economy.

The absence of economic data in the second half of the day lowers the chances of significant price swings. In such an uncertain environment, investors act cautiously, avoiding risky trades. So don't be surprised if trading activity noticeably drops later today. Under these conditions, technical analysis remains the most effective trading approach.

For intraday strategy, I'll mostly rely on Scenario 1 and Scenario 2.

This image is no longer relevant

Buy Signal

Scenario 1: Buy the euro when the price reaches 1.1394 (green line on the chart), targeting a rise to 1.1427. At 1.1427, I plan to exit the trade and open a short position in the opposite direction, aiming for a 30–35 point pullback. Important: Before buying, make sure the MACD is above the zero line and just beginning to rise.

Scenario 2: Buy the euro after two consecutive tests of 1.1374, provided that the MACD is in the oversold zone. This would limit the pair's downward potential and trigger a market reversal upward. Potential upward targets are 1.1394 and 1.1427.

Sell Signal

Scenario 1: Sell the euro when the price reaches 1.1374 (red line on the chart), with a target of 1.1344, where I plan to exit and open a long position in the opposite direction (expecting a 20–25 point reversal from that level). Important: Before selling, ensure the MACD is below the zero line and just beginning to decline.

Scenario 2: Sell the euro after two consecutive tests of 1.1394, provided that the MACD is in the overbought zone. This will limit the pair's upward potential and trigger a reversal downward. Look for a decline to 1.1374 and 1.1344.

This image is no longer relevant

Chart Key:

  • Thin green line – entry price for long positions
  • Thick green line – potential Take Profit or manual exit point (further growth above this level is unlikely)
  • Thin red line – entry price for short positions
  • Thick red line – potential Take Profit or manual exit point (further decline below this level is unlikely)
  • MACD Indicator – use overbought/oversold zones to guide market entries

Important Notes for Beginners:

Forex beginners must be extremely cautious when making entry decisions. It's best to stay out of the market before important fundamental releases to avoid sharp price swings. If you choose to trade during news events, always use stop-loss orders to minimize risk. Without stop-loss protection, you can quickly lose your entire deposit—especially if you ignore money management principles and trade large volumes.

Remember: successful trading requires a clear, predefined trading plan, like the one outlined above. Spontaneous decision-making based on the current market situation is a losing strategy for intraday traders.

Jakub Novak,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

GBP/USD: Simple Trading Tips for Beginner Traders on June 10. Review of Yesterday's Forex Trades

The test of the 1.3562 level in the second half of the day coincided with the MACD indicator just beginning to move downward from the zero mark, which confirmed

Jakub Novak 09:06 2025-06-10 UTC+2

EUR/USD: Simple Trading Tips for Beginner Traders on June 10. Review of Yesterday's Forex Trades

The price test at 1.1420 occurred just as the MACD indicator began moving down from the zero mark, confirming a valid entry point for selling the euro and resulting

Jakub Novak 09:05 2025-06-10 UTC+2

Intraday Strategies for Beginner Traders on June 10

Euro, Pound, and Other Risk Assets Remain Trapped in Sideways Channels, but the U.S. Dollar Sees Stronger Demand During the U.S. Session After the First Day of China-U.S. Negotiations

Miroslaw Bawulski 08:20 2025-06-10 UTC+2

USD/JPY: Simple Trading Tips for Beginner Traders on June 9 (U.S. Session)

Analysis of Trades and Tips for Trading the Japanese Yen The price test at 144.28 during the first half of the day occurred when the MACD indicator had already moved

Jakub Novak 14:40 2025-06-09 UTC+2

GBPUSD: Simple Trading Tips for Beginner Traders on June 9th (U.S. Session)

Analysis of Trades and Tips for Trading the British Pound The price test at 1.3567 during the first half of the day occurred when the MACD indicator had already moved

Jakub Novak 14:25 2025-06-09 UTC+2

EUR/USD: Simple Trading Tips for Beginner Traders on June 9th (U.S. Session)

Analysis of Trades and Tips for Trading the Euro The price test at 1.1430 occurred when the MACD indicator had already moved significantly above the zero mark, limiting the pair's

Jakub Novak 14:22 2025-06-09 UTC+2

USD/JPY: Simple Trading Tips for Beginner Traders on June 9. Review of Yesterday's Forex Trades

The price test at 144.27 occurred when the MACD indicator had already moved significantly above the zero line, but the strong U.S. labor market data offered a high probability

Jakub Novak 09:01 2025-06-09 UTC+2

GBP/USD: Simple Trading Tips for Beginner Traders on June 9. Review of Yesterday's Forex Trades

The price test at 1.3535 in the second half of the day occurred just as the MACD indicator was beginning to move downward from the zero line. This confirmed

Jakub Novak 09:01 2025-06-09 UTC+2

EUR/USD: Simple Trading Tips for Beginner Traders on June 9. Review of Yesterday's Forex Trades

The price test at 1.1410 occurred when the MACD indicator had just started moving downward from the zero line. This confirmed the correct entry point for selling the euro

Jakub Novak 09:00 2025-06-09 UTC+2

Intraday Strategies for Beginner Traders on June 9

All risk assets, including the euro and the pound, fell against the U.S. dollar on Friday following the release of fairly strong U.S. economic data. However, this was not enough

Miroslaw Bawulski 07:44 2025-06-09 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.