Forex Weekly Report 20-01-2020

Hello, friends! I hope you all had a great weekend and are ready to make real money this week! Markets are finally showing the face and giving us better directions. Like last year, the analysts are predicting a massive downside to USD. I have my doubts, as it’s very hard to fund trades in the dollar, it is much better to sell EUR to buy USD than the opposite.

 

USDCHF – uptrend resumption

USDCHF is a good example of a “positive carry trade” ( when you have positive swaps for holding the position) that will pay us twice, swaps and price valorization. To add we got a bullish cot signal this week.

  1. Positive carry trade;
  2. good price level;
  3. cot buy signal.
Price Charts

Very interesting level in weekly charts. I already took a long on Friday after cot data releasing. The next logical liquidity zone is at 1.005-1.0150. This is the level where my take profit is! A more conservative approach is to wait for the price to leave this zone and enter long above 0.975.

WeeklyForex COT USDCHF

cot charts

A chain of long signals just started to trigger, with the “uptrend resumption” being the first! I wait for next week’s Stochastics and RSI long signal. So don’t need to buy everything at once, be a market participant and participate, use the time in your favor and keep adding small positions as the trend evolves, use dips to add.FOREX USDCHF COT CHART

EURGBP – RSI BUY SIGNAL

If you zoom out  EURGBP  weekly chart you will see a very well defined range. We got a buy signal right after a failed breakout attempt at a demand zone. Think we have elements here to enter in a long position. I already took a long position on Friday after the cot data release.

  1. Cot buy signal;
  2. bottom of the range;
  3. failed demand breakout attempt.

Forex EURGBP Range

EURGBP SIGNALS

As you can see in this picture we have a chain of long signals already happening for EURGBP. In the second picture, you will see that we have more signals to trigger.

FOREX EURGBP SIGNALS

FOREX EURGBP COT

We have two great opportunities this week, trade them well! Use Supply and demand zones to add positions and as logical stop-loss zones!

This weekend I coded a new alert based on supply/demand zones. The fakeout alert, its when price tries to break a supply/demand zone and fails, the blue stars you see in the previous charts are fakeout points. I also redesign how the zones are created, keeping the memory of good zones.  This indicator is available for cTrader in my store if you need it for another platform just send me a message on twitter and I can do it for you.

That’s it! I hope you can profit from this. Have a great week of trading!

Best Regards

Leo Hermoso

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Comments (2)

how you going Leo i got long usd/chf today didn`t know about the Cot signal i use daily structure to get in but the cot might help, its a bit weak today see how it goes this week take it easy : )

I doing fine, Roger! USDCHF hasn’t rallied it, but I believe this is going to be a marvelous trade, trading back near 1.00 again. Let’s see! Tks for your comment.

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