EUR/USD Forex Signal – 10 January 2019



Yesterday’s signals were not triggered, as there was no bearish price action when the identified resistance level at 1.1500 was reached.

Today’s EUR/USD Signals

Risk 0.75%.

Trades must be taken between 8am and 5pm London time today only.

Short Trades

  • Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 1.1572, 1.1633, or 1.1659.

  • Put the stop loss 1 pip above the local swing high.

  • Adjust the stop loss to break even once the trade is 20 pips in profit.

  • Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run.

Long Trade

  • Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1500.

  • Put the stop loss 1 pip above the local swing high.

  • Adjust the stop loss to break even once the trade is 20 pips in profit.

  • Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run.

The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.

EUR/USD Analysis

I wrote yesterday that the outcome of today would probably depend upon whether or not the support at 1.1416 held. If it held, we would be more likely to see a bullish break of 1.1500 at some time this week. I said that I would take a bullish bias above 1.1500. This was a pretty good call and at least a profitable one, with the price breaking up strongly past 1.1500 and continuing all the way to 1.1570. However, I did not think the breakout would come during yesterday’s London session, so I found it surprising, and in that sense I was wrong.

I have been highlighting this pair over recent days as it has slowly threatened to become a major mover as the price reaches new multi-week highs. However, the short-term momentum shows the price falling from the next resistance level I have identified as 1.1572, so it seems that some kind of pull-back is going to happen now. I will take a bullish bias on this pair today if there is a strong bullish reversal later above the 1.1500 level.EURUSDThere is nothing of high importance due today concerning the EUR. Regarding the USD, the Chair of the Federal Reserve will be giving a minor speech at 5pm London time.






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