The EUR/USD pair could continue to correct on Thursday, and might resume the upward trend. However, having failed to surpass the level of 1.2056, it was unable to continue the movement further down to the uptrend line. Nevertheless, the upward trend for the pair still persists, so novice traders should have considered buy signals from the MACD indicator. There was only one signal that was formed during the day, and, unfortunately, it did not bring proper profit to beginners. It's good that the price eventually went up 15 points, which made it possible to set Stop Loss to breakeven. Therefore, novice traders were already insured against losses on this transaction. In general, the pair was trading mostly sideways all day, so it was hard to make a profit today.
Now let's take a look at the 5 minute timeframe. If only one signal was formed on the 30-minute TF, then on the lowest TF it was 13. Yes, and this also happens. Since the pair was trading in a horizontal channel all day, the price regularly crossed important levels, thereby forming the corresponding signals. Let's try to figure out which of the signals should be processed and which should be filtered out. The first buy signal was formed at the very beginning of the European session. The pair rebounded off the level of 1.2076 and climbed to the level of 1.2092, surpassing it (another buy signal), but in total it only rose by 25 points. Result: the deal was closed by Stop Loss at zero. Furthermore, a sell signal was generated to surpass the level of 1.2092 from top to bottom. A little later, there is one more sell signal to surpass the level of 1.2076.
Here, novice traders could make 30 points of profit, since the level of 1.2056 was reached and the Take Profit equal to 30 points should have been triggered. A buy signal was immediately formed on the rebound from the level of 1.2056, and a little later, two more buy signals from the level of 1.2076 (a breakthrough and rebound). These signals also made it possible for beginners to earn around 30 points, because the level of 1.2092 was reached and Take Profit at 30 points should have been triggered as well. This was followed by two sell signals on the rebound from the level of 1.2092, and this time they closed at a loss of 12 points, as the price could not continue to move down. The price surpassed the level of 1.2092, but this signal turned out to be false, because the quotes began to fall immediately: another -8 points. There was no need to trade from it after two false signals near the level of 1.2092, so we ignore the new sell signal. And the last two signals near the level of 1.2076 should also be filtered out, since by that time the trading day was already over. Bottom line: 40 points of profit.
Trading tips for Friday:
Novice traders have a clear trend on the 30-minute timeframe on Friday, therefore, one should continue to consider buy signals from the MACD indicator. This indicator is near the zero level, so it can generate signals. In any case, it is not recommended to trade at night, and by tomorrow morning the situation may change. On a 5-minute timeframe, it is recommended to trade from the levels 1.2027, 1.2044, 1.2056 and 1.2092. Take Profit, as before, is set at a distance of 30-40 points at 30M. Stop Loss - to breakeven when the price passes in the right direction by 15-20 points. At 5M TF, the target is the closest level if it is not too close or too far away. If located - then you should act according to the situation. Recall that it is best to trade using the most accurate and clear signals, and ignore inaccurate ones. The US retail sales report should be highlighted among the important macroeconomic reports on Friday, which may have an impact on the euro/dollar pair. The rest of the reports are secondary.
