The commentary describes an additional potential EUR/USD sell setup for traders not already positioned, centred on a possible bearish scenario. The plan is to wait for price to reach a 4-hour fair value gap (FVG) zone, shown in purple, and then look for a bearish shift and reversal signals within that area before defining the sell entry, stop and target levels. The reference point is the EUR/USD 15-minute chart dated 27 July 2026.
The setup is invalidated if price breaks above the 27 July 2026 high, and it is also cancelled if price breaks below the 27 July 2026 low without first tapping the 4H FVG. Separately, the text stresses using multiple aligned strategies rather than relying on a single approach, alongside proper money and risk management. ElliottWave-Forecast says it covers 78 instruments across four time frames and runs five live-session webinars every day, alongside daily technical videos, Elliott Wave trade setup videos and a 24-hour chat room.
Trade Plan and Setup Conditions
We are currently riding two short positions on EUR/USD and believe another excellent sell opportunity is forming for traders who have not yet entered. In the coming weeks, we advise waiting for the price to test the 4-hour Fair Value Gap (FVG) before committing to new short positions. We must watch closely for a bearish shift and reversal signals in this zone to confirm our entry.
To manage risk, we have established strict invalidation levels based on recent market action. If the exchange rate climbs above the July 27, 2026 high, this bearish setup is officially cancelled. Likewise, if the pair drops below the July 27, 2026 low without first testing that 4-hour FVG, we will abandon the trade plan.
Market Context and Risk Management
This bearish outlook aligns with recent economic data, as the European Central Bank’s July policy updates continue to highlight weak growth across the bloc. Eurozone manufacturing PMIs have slumped to 45.8, while US economic indicators remain surprisingly robust. Historically, when macroeconomic divergence of this scale occurs, the EUR/USD pair has experienced downward moves of up to 300 pips over the subsequent weeks.
We always emphasize that traders should never rely on a single technical indicator or strategy in isolation. Combining this FVG analysis with other tools, like momentum indicators or key moving averages, gives us a much clearer picture. Because no market model is perfect, using strict risk-to-reward ratios and stop-losses is essential to protect your capital.
