Recap: Our decision to skip the long yesterday was the right call as the downtrend was just too strong for bulls to push the pair up in any significant way. No EU trades taken as no support ever formed for us to work with.

All and all we only entered one trade yesterday (GU short) which got within 2 pips of our ultimate target of 90 pips. We settled for closing out for 65 pips on tightened SL.

Today we are still bearish on the pair as it is in a clear downtrend, but we are also ok with adding a long to our trading options today to take advantage of the oversold conditions.

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Today's Important News Events:

DateTime (UTC)EventForecastPrevious
Thu
May 24
05:00JPY Bank of Japan Monthly Economic Report


06:00EUR German Gross Domestic Product n.s.a. (YoY) (1Q F)1.7%1.7%

06:00EUR German Gross Domestic Product s.a. (QoQ) (1Q F)0.5%0.5%

06:00EUR German Gross Domestic Product w.d.a. (YoY) (1Q F)1.2%1.2%

08:30GBP Gross Domestic Product (QoQ) (1Q P)-0.2%-0.2%



08:30GBP Gross Domestic Product (YoY) (1Q P)0.0%0.0%



12:30USD Durable Goods Orders (APR)0.2%-3.9%



*To see a more extensive list of news events (not just those we consider important), visit our Forex Calendar.

Trading Idea: We are going to establish a low risk short at current price (1.2573 as of 10:03 UTC) off of a PRO proximity alert to the falling resistance. Targets at 20/20/20/20 for 80 pips. We will close and get long on a resistance break with targets at 20/20/20/20 for 80 pips.