empty
18.07.2025 08:00 PM
EUR/USD: Simple Trading Tips for Beginner Traders – July 18th (U.S. Session

Trade Review and Tips for Trading the Euro

The test of the 1.1630 price level coincided with a moment when the MACD indicator had already moved significantly above the zero mark, which limited the pair's upward potential. For this reason, I did not buy the euro.

A large batch of economic data is expected to be released in the second half of the day. We start with data related to the construction sector: building permits and housing starts. The real estate market, a traditional driver of economic growth, is highly sensitive to even slight changes in interest rates and consumer confidence. An increase in permits and housing starts indicates confidence among builders and buyers, signaling a positive outlook. Conversely, a decline signals economic slowdown and a potential recession.

The University of Michigan Consumer Sentiment Index is another important economic indicator. It reflects consumers' willingness to spend on goods and services. High confidence supports economic growth, while low confidence leads to reduced demand and production. Inflation expectations also influence business and investor decisions. If price increases are expected, people are more likely to spend now to avoid future losses.

A rise in the dollar can only be expected if the incoming data exceeds economists' forecasts.

As for the intraday strategy, I will mostly rely on the implementation of scenarios #1 and #2.

This image is no longer relevant

Buy Signal

Scenario #1:Buying the euro today is possible around the 1.1659 level (green line on the chart) with a target of 1.1690. At 1.1690, I plan to exit the market and open a short position, aiming for a 30–35 point retracement from the entry level. A strong rise in the euro today is likely only if U.S. data disappoints. Important: Before buying, make sure the MACD indicator is above the zero line and just starting to rise from it.

Scenario #2:I also plan to buy the euro today if there are two consecutive tests of the 1.1632 level, at a time when the MACD is in oversold territory. This would limit the pair's downward potential and trigger a reversal to the upside. Growth toward the opposing levels of 1.1659 and 1.1690 can be expected.

Sell Signal

Scenario #1: I plan to sell the euro after reaching the 1.1632 level (red line on the chart). The target is 1.1597, where I intend to exit and open a long position in the opposite direction (expecting a 20–25 point retracement). Downward pressure may return if U.S. data comes in strong. Important: Before selling, make sure the MACD is below the zero line and just starting to move down from it.

Scenario #2:I also plan to sell the euro today in the event of two consecutive tests of the 1.1659 level, when the MACD is in overbought territory. This would limit the pair's upward potential and trigger a reversal downward. A decline toward the opposing levels of 1.1632 and 1.1597 can be expected.

This image is no longer relevant

Chart Legend:

  • Thin green line – entry price for buying the trading instrument
  • Thick green line – suggested level for placing Take Profit or manually fixing profit, as further growth above this level is unlikely
  • Thin red line – entry price for selling the trading instrument
  • Thick red line – suggested level for placing Take Profit or manually fixing profit, as further decline below this level is unlikely
  • MACD Indicator – when entering the market, it's important to rely on overbought and oversold zones

Important:Beginner Forex traders must be very cautious when making market entry decisions. It's best to stay out of the market before major fundamental reports to avoid sharp price swings. If you decide to trade during news releases, always use stop-loss orders to minimize losses. Trading without stops can quickly wipe out your entire deposit, especially if you don't use money management and trade with large volumes.

And remember: for successful trading, a clear trading plan is essential—like the one outlined above. Spontaneous decision-making based on current market conditions is a losing strategy for intraday traders.

Jakub Novak,
Analytical expert of InstaForex
© 2007-2025
Summary
Urgency
Analytic
Pavel Vlasov
Start trade
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

USD/JPY: Simple Trading Tips for Beginner Traders on July 25. Analysis of Yesterday's Forex Trades

The test of the 146.75 level coincided with the moment when the MACD indicator had just started to move upward from the zero line, confirming a valid entry point

Jakub Novak 08:52 2025-07-25 UTC+2

GBP/USD: Simple Trading Tips for Beginner Traders on July 25. Analysis of Yesterday's Forex Trades

The test of the 1.3529 level occurred when the MACD indicator had just started to move down from the zero line, confirming a valid entry point for selling the pound

Jakub Novak 08:52 2025-07-25 UTC+2

EUR/USD: Simple Trading Tips for Beginner Traders on July 25. Analysis of Yesterday's Forex Trades

The test of the 1.1757 level occurred at the moment when the MACD indicator had just started to rise from the zero line, confirming a valid entry point for buying

Jakub Novak 08:52 2025-07-25 UTC+2

Intraday Strategies for Beginner Traders on July 25

The Euro Holds Its Ground, While the Pound Resumes Decline Following Weak UK Data Yesterday, European Central Bank President Christine Lagarde stated that the ECB had taken a wait-and-see approach

Miroslaw Bawulski 08:23 2025-07-25 UTC+2

Oil: Will the Market Hold Support or Are Broken Trends a Trap for the Bulls?

Since the start of the week, the oil market has remained in a state of tense equilibrium. Brent crude, having lost its May upward trend, managed to recover only partially

Anna Zotova 02:41 2025-07-25 UTC+2

USD/JPY: Simple Trading Tips for Beginner Traders – July 24th (U.S. Session)

Trade Analysis and Tips for Trading the Japanese Yen The test of the 146.38 level occurred at a time when the MACD indicator had already moved far above the zero

Jakub Novak 14:06 2025-07-24 UTC+2

GBP/USD: Simple Trading Tips for Beginner Traders – July 24th (U.S. Session)

Trade Analysis and Pound Sterling Trading Tips The test of the 1.3555 level coincided with the MACD indicator having moved well below the zero line, which limited the pair's downward

Jakub Novak 14:04 2025-07-24 UTC+2

EUR/USD: Simple Trading Tips for Beginner Traders – July 24th (U.S. Session)

Trade Analysis and Euro Trading Tips The test of the 1.1756 level coincided with the MACD indicator moving well below the zero line, which limited the pair's downward potential. Eurozone

Jakub Novak 14:02 2025-07-24 UTC+2

USD/JPY: Simple Trading Tips for Beginner Traders on July 24. Analysis of Yesterday's Forex Trades

The test of the 146.56 level occurred when the MACD indicator had already moved significantly above the zero line, which limited the pair's upward potential—especially in the context

Jakub Novak 09:05 2025-07-24 UTC+2

GBP/USD: Simple Trading Tips for Beginner Traders on July 24. Analysis of Yesterday's Forex Trades

The test of the 1.3551 level occurred when the MACD indicator had just started moving up from the zero line, confirming the validity of the entry point for a long

Jakub Novak 09:04 2025-07-24 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.