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Sunday, December 22, 2013

Daily Trading Forecasts for December 23, 2013



EURUSD: This pair gave a bearish signal last week – something that is still valid. There has been some rally in the context of a downtrend (in the face of the extant Bearish Confirmation Pattern). Bullish threats seem to have been rejected at the resistance line of 1.3700; a point from which the price could plummet further.


USDCHF:  This pair gave a bullish signal last week – something that is still valid. There has been some rally in the context of a downtrend (in the face of the extant Bullish Confirmation Pattern). Bearish threats seem to have been rejected at the support level of 0.8950; a point from which the price could rise further.

GBPUSD:  This market was rough for most of the last week, giving no directional signal in favor of bears or bulls. For instance, the EMAs are in support of the bulls but the RSI period 14 is in support of the bears. Although it is more likely that the price would ultimately go in favor of the bears when a breakout occurs in the market, it would be wise to stay away until a clearer signal is generated.

USDJPY: The USDJPY moved upwards by over 170 pips last week, challenging the supply zone of 104.50 before retracing southward. The southward retracement would be temporary, for the price would soon trade further upwards.

EURJPY: Since a bullish signal was generated here in early November 2013, the cross has moved upwards by over 740 pips. However, this is not without some maniacal upswings and downswings in the price, whereas downswings tend to give opportunities to go long at better prices. The bias for this week remains bullish. The price closed at 142.32 on Friday.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group

Eye-opening trading lessons: http://www.harriman-house.com/experttraders

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