EURUSD
Dominant
bias: Bullish
Although the dominant bias on this pair is
bullish, the bias is seriously threatened. After testing the resistance line at
1.1050, the price went down by roughly 250 pips, almost reaching the support
line at 1.0800. Based on the bearish
expectation on EUR (and EUR pairs) for the rest of this month, it is likely
that EURUSD would go further south by 100 pips this week. In case this happens,
the bias on the pair would turn bearish.
USDCHF
Dominant bias: Bearish
After bottoming at the support level of 0.9800,
the USD/CHF has been making a noticeable bullish attempts in the context of a
downtrend. The price reached the
resistance level at 0.9950 on Thursday, and then consolidated till the end of
the week. At this junction the direction of the USD/CHF would be determined by
what happens to EUR. There would be mixed signals on all USD pairs, for the US
dollars would be weak against some currencies as well as strong against some
currencies.
GBPUSD
Dominant
bias: Bearish
What happened on Cable last week has resulted in a “sell’’ signal, in
solidarity with our bearish expectation on GBP pairs. Cable went south by 300 pips to test the
accumulation territory at 1.4900. This has resulted in a Bearish Confirmation
Pattern in the market, and it is likely that the southward movement would
continue for the rest of this month. Therefore, any rallies that are seen
should be approached as short-selling opportunities.
USDJPY
Dominant bias: Bearish
This volatile currency trading instrument
swung wildly last week. Price tested the demand level at 120.50, and then rose
sharply to reach the supply level at 123.50 (a movement of 300 pips). After the
supply level was tested, price fell by 200 pips on Friday, due to the
fundamental events affecting the Yen, which gave strength to the Yen. The
current bias on USD/JPY is bearish, and this should be respected as it long as
it lasts.
EURJPY
Dominant bias: Bearish
This market traded sideways from Monday till Thursday; and
experienced a bearish breakout on Friday. The weakness in the market, coupled with its
inability to trend higher, has made the outlook on the market become bearish.
As EUR is weakened further, EUR/JPY might trend further south. There is a need
for a serious weakening in the Yen before this bearish movement can be
reversed.
This forecast is concluded with the quote below:
“Quality of
trades matter, but a trading career does not depend on one trade, it is rather
the sum of all
trades. Acknowledging that a few losing trades cannot hurt me released me from
anxious trading.” -
Christiaan van der Meer
Source: www.tallinex.com
What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html
No comments:
Post a Comment