Forex Signals – EURUSD False Break City

Recap: Our short was triggered on the 1.3321 support break yesterday, and then closed out at 1.3347 on the false break alert for a 26 pip loss. There was a second support break later in the day but we passed on that, as we indicated in yesterday's setup when we said "we will take a max of two trades, one in each direction." Since it was the second short signal we passed on it.

Though we say it is a disappointing loss we can never stay mad at our false break alert system for too long - 95% of the time it keeps our losses very, very small (single digits), which greatly tilts the risk/reward ratio in our favor despite starting with just a 80 TP and 50 SL most of the time.

The pair did continue to drop after the second support break and has dropped over 60 pips since then, creating a decent falling resistance in the meantime. The pair is overbought on the long-term charts, but the combination of the falling resistance and the potential for a double-top formation or another stab upward will keep us looking to get long on a resistance break.

Safe pipping today!

Today's Important News Events:

Date	Time (UTC)	Event	Forecast	Previous
Wed Jan 16	10:00	EUR Euro-Zone Consumer Price Index (YoY) (DEC)	2.2%

	10:00	EUR Euro-Zone Consumer Price Index - Core (YoY) (DEC)	1.5%	1.4%

	13:30	USD Consumer Price Index (YoY) (DEC)	1.8%	1.8%

	13:30	USD Consumer Price Index Ex Food & Energy (YoY) (DEC)	1.9%	1.9%

	19:00	USD U.S. Federal Reserve Releases Beige Book
	*To see a more extensive list of news events (not just those we consider important), visit our Forex Calendar.