EURUSD
Dominant
bias: Bearish
EURUSD was volatile for most past of last
week, and there is not yet a strong directional movement, though the bias is
bearish. Even the bullish breakout that was performed on Friday could prove to
be a false breakout unless the resistance lines at 1.1350 and 1.1400 are
overcome. On the other hand, there are strong support lines at 1.1150 and
1.1100. This month, there could be some selling pressure on EURUSD as a result
of an expected strength in USD.
USDCHF
Dominant bias: Bullish
In spite of the large pullback that was
seen on October 2, this pair remains a bull market. For the bull market to be
rendered illogical, there is a need for the pair to breach the support levels 0.9600
and 0.9550 to the downside, staying below them. It would not be easy for bears
to achieve this aim because the outlook on USD is bright for the month of
October (and so is the outlook on CHF). What can be a noteworthy challenge for the
bullish bias on USDCHF is the expected stamina in CHF itself, which would be
visible on certain CHF pairs within the last two weeks of this month. In addition,
a significant rally must happen on EURUSD before USDCHF can go south protractedly.
Unless that happens, USDCHF would remain bullish, meaning that the last
pullback might be another opportunity to join the uptrend.
GBPUSD
Dominant
bias: Bearish
The rally that happened on this currency trading instrument last Friday
was not strong enough to jeopardize the existing bearish trend in the market. There
is still a Bearish Confirmation Pattern in the market and there is a possibility
that price could continue going south. Since the outlook on USD is bright for
the month of October, price would find it somewhat difficult to make a protracted
northward journey. Large movements are expected this month.
USDJPY
Dominant bias: Neutral
There is not yet any directional movement
on this currency trading instrument. This is a choppy market and it would be
prudent to stay away from it until there is a directional movement. For this
currency pair to go into a trending mode, price must either close above the supply
level at 121.50 or below the demand level at 118.00. Without this happening,
the market would remain choppy and trendless. One thing is sure: There would be
an end to the present consolidation in this month.
EURJPY
Dominant bias: Bearish
The movement of this cross was somehow flat last week – all
in the context of a downtrend. This cross, including other JPY pairs, would perform
strong trending movements this month, and this week is likely to be bullish for
some JPY pairs, including the EUR/JPY cross. There could be an upwards movement
of 200 pips this week, which would lead to a brand-new bullish outlook, should
it happen. A major factor in the direction of this cross in this week is the
condition of Yen, which could be weak.
This forecast is concluded with the quote below:
“Trading can be
an intellectual stimulation, as well as a way to make money…. A well-conceived
and executed transaction is a thing of beauty, to be experienced, enjoyed, and
remembered. It should have an essence transcending
monetary reward.” - Mark Minervini (a trading legend)
Source: www.tallinex.com
What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html
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