Technical Analysis: EUR/USD Bullish Setup

61
The EUR/USD chart shows a textbook setup with the EMA Trading System providing a high-probability long entry.

System Signals
  • EMA System Status: Bullish Signal with Bullish Trend
  • Alignment: Confirmed (optimal confluence)
  • Chart Pattern: Bullish reversal after pullback to dynamic support


Key Technical Elements
  • The price action shows a clear bullish reversal pattern with an uptrend resuming after testing the 21 EMA support
  • Background coloring is green, confirming the 21 EMA > 55 EMA relationship (bullish trend)
  • A green triangle entry signal is visible where the 8 EMA crossed above the 55 EMA
  • All EMAs are properly aligned in a bullish stack formation (8 > 13 > 21 > 55)
  • MACD indicators (bottom of chart) show positive momentum with blue line crossing above orange line


Trade Parameters
Entry: 1.08901
Price Target: 1.10028 (1127 ticks/pips gain)
Stop Loss: 1.08356 (545 ticks/pips protection)
Risk-Reward Ratio: 1:2

Market Context
The EUR/USD is showing strength in an established uptrend. The recent pullback created an ideal entry point as price found support at key EMA levels before resuming its upward trajectory. Volume is supporting the move as indicated by the rising histogram bars below the chart.

This setup aligns perfectly with our MACR strategy parameters, offering a high-probability trade with excellent risk-reward characteristics.

The Confirmed alignment status and clear bullish trend provide strong confluence factors supporting this long position.​​​​​​​​​​​​​​​​

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.