February 4, 2010 05:25

Forex Signals – EUR/USD Good Old Bears

By:

2-4-10

4:14a GMT – Quick to note to everyone that the economic calendar is back up and running if you check it to avoid event risks. Nearly a picture perfect trade yesterday as the pair came right up underneath our resistance at 1.4030 (hit 1.4025) and, if you were awake and watching, gave a nice long wick before dropping like a rock. All 3 targets were hit for 130 pips profit.

Daily Outlook: As expected yesterday the confluence of multiple layers of resistance and the 23.6% fibonacci retracement level gave bears (who have been in firm control since December) a reason to sell again and the pair dropped swiftly. The pair continues to be extremely bearish on nearly any timeframe you look at including the 60m, 4-hour and daily. As such I will continue to look to sell rallies near resistance and I’m looking at two levels this morning: 1.3960 (the 61.8% retracement of yesterday’s drop) and, if that is broken, 1.4030 once again.

Trading Idea: From 1.3960 short targets are 1.3930, 1.3900 1.3865 and 1.3830. From 1.4030 I’ll use the same targets as yesterday’s signal. Also, for a secondary trade I would sell a sustained break of 1.3830 as this opens up 1.3800 and 1.3755.

(click to enlarge)

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171 Comments on "Forex Signals – EUR/USD Good Old Bears"
  1. Reply
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    Comment left on:
    February 4, 2010 at 15:55
    Badniguel says:

    I just want to share your comments about this site and about Mark.He gives us a great deal of understanding but most importantly, the patience to see and wait for the best opportunities. I have had my best day today, taking over 450 pips, using the knowledge that I have learnt here. My methods aren’t always the most conventional but there is more than one way to interpret data. But it is the accuracy of Mark’s signals that gives the better understanding oh how to trade.
    This is one happy piphutter. I’m done for the day.

    Good luck to you all for the rest of the session and beyond.

    • Reply
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      Comment left on:
      February 4, 2010 at 16:04
      Matthew says:

      Badniguel,, Well said and well done. You have a wonderful day. I am just about to call i a day as well. Not close to 450 but met the quota…

      • Reply
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        Comment left on:
        February 4, 2010 at 16:25
        Badniguel says:

        By the way Matthew, how’s Marlon Brando!!!!!….:)

    • Reply
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      Comment left on:
      February 4, 2010 at 16:35
      Lisa says:

      Ditto!!!

  2. Reply
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    Comment left on:
    February 4, 2010 at 16:02
    domen says:

    tommy you are magic man:))! i didnt go in becouse i play tennis and this was the wort play in life:)))! were is the bottom xau usd

  3. Reply
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    Comment left on:
    February 4, 2010 at 16:07
    domen says:

    hello

    tommy were is the bottom of the fall in xau usd?

    • Reply
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      Comment left on:
      February 4, 2010 at 16:15
      Tommy says:

      Waiting if still makes little more:)), next support 1050.

      • Reply
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        Comment left on:
        February 4, 2010 at 16:23
        Tommy says:

        Counting three bars candles, then tp should be put 3 x 4H(400pips) the first bar, next week waiting if 800 pips lower price from monday to wednesday.(minus fridays movement), ofcourse this is optimistic but its not the first time.

        tomorrow, I am not trading on fridays. dosent work with my trading style.

        • Reply
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          Comment left on:
          February 4, 2010 at 16:28
          Tommy says:

          3xD, mistake

  4. Reply
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    Comment left on:
    February 4, 2010 at 16:37
    Lisa says:

    Mark,

    BTW, where are you?? My goodness, I pray that you are not sleep and missed all this excitement that you created.

    • Reply
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      Comment left on:
      February 4, 2010 at 16:52
      Bob says:

      I totally agree lisa, I think he missed the big move yesterday. It would be a shame if he helped us bank pips that he is missing.

      BTW, now that was have smashed through 1.3755 any idea what the new resistance will be? I’m thinking 1.3830

    • Avatar of piphut
      Reply
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      Comment left on:
      February 4, 2010 at 17:44
      piphut says:

      I’m here, just busy this morning. I got in don’t worry :). You never have to worry about me missing trades. There will always be another one, other pairs, etc….

      • Reply
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        Comment left on:
        February 4, 2010 at 18:19
        Lisa says:

        Mark,

        Good and I am glad!!! I just am so thankful for you and the time you give us. Therefore, it is only natural that we are thinking of you.

  5. Reply
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    Comment left on:
    February 4, 2010 at 16:37
    andrick says:

    any of you guys trying to catch some pips from these pairs
    GBPJPY, CADJPY …?? I love it…the longer the red candle the better it is
    realllyyyyy goooodddddddddd :))))

  6. Reply
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    Comment left on:
    February 4, 2010 at 16:43
    Tenkis says:

    Just close my short on usd/jpy :))))))

  7. Reply
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    Comment left on:
    February 4, 2010 at 17:08
    Chris (Singapore) says:

    hmmm.. annoying. I jumped in short the GBP at 1.5760. It crashes down to 1.5727 in about 5 mins then goes back up past my BE and hits my tight SL of 20 pips.

    • Reply
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      Comment left on:
      February 4, 2010 at 19:16
      Bob says:

      Chris,

      I’m not sure how others deal with this but in a market like this, when it rushes down I move my stop loss to break even or maybe a couple pips, that way if it shoots back up I won’t loose anything and I can always get back in if it looks good.

      • Reply
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        Comment left on:
        February 4, 2010 at 19:30
        Badniguel says:

        I do exactly the same thing. Always move to BE once pips can be secured and reduce loss. Better to break even than make a loss. There will always be another trade.

      • Reply
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        Comment left on:
        February 5, 2010 at 01:39
        Chris (Singapore) says:

        Hi Bob, I normally do that as well actually. It happened pretty fast and didnt move my SL to BE quick enough. Lesson learnt anyway…

  8. Reply
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    Comment left on:
    February 4, 2010 at 17:34
    Tommy says:

    Tommis signs out for the day, going for dinner:) good luck all! and Thanks

  9. Reply
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    Comment left on:
    February 4, 2010 at 18:08
    Chris (Singapore) says:

    Candlesticks are looking pretty bullish at the moment. 2 bullish ones on the 30min and a doji on the hourly.

  10. Reply
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    Comment left on:
    February 4, 2010 at 18:10
    Louis (Pretoria South Africa) says:

    Hi everybody I am blaming Spain,Portugal and Greece for the fiasco and it is not going to change in the next couple days so to-morrow Friday is going to be exactly the same. I do not trade Fridays but a pip or two will do. We could have made 100 pips $/Yen to-day but personally I do not like this pair.DO NOTHING OR GO TO THE MOVIES.

  11. Reply
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    Comment left on:
    February 4, 2010 at 19:04
    Matthew says:

    Wow it looks like it did yesterday, no retrace up to a higher price, I wonder if it will just consolidate and fall again.???????????

  12. Reply
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    Comment left on:
    February 4, 2010 at 19:42
    Bob says:

    Does that look like a bearish flag forming on the 30 minute chart?

  13. Reply
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    Comment left on:
    February 4, 2010 at 22:42
    Tommy says:

    all entries still open:) huge lot sizes, dont even dare to say how many pips. bests days ever!!

    Gold 4H falling wedge pattern at 1900 gmt prediction.
    1037-1005 between that area. quality 75%.

    Thanks Mark second trade worked nicely tough I was allready in. Thanks G, you all this happen. Half of my winnins to charity..

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