Here’s the market outlook for the week:
EURUSD
Dominant bias: Neutral
The market is bullish in the long-term and neutral in the short-term.
There was a slight bearish movement last week, but that was not significant.
This week, price would either go above the resistance line at 1.2050, to
strengthen the long-term bullish outlook; or price go below the support line at
1.1850 (which was tested last week), staying below it, to bring about a
short-term bearish bias.
USDCHF
Dominant bias: Neutral
USDCHF is bearish in the long-term, but neutral in the short-term. From
Monday to Wednesday, price went upwards by more than 200 pips, to test the
resistance level at 0.9700. However, price began to come downwards on Thursday
and Friday, thus rendering the short-term bullishness of the market vulnerable.
To bring about a clean bullish bias, there is a need for the market to go
upwards this week, staying above the resistance level at 0.9700; otherwise a
strong bearish movement would result in a bearish bias. Movements between the
resistance levels at 0.9700 and the support level at 0.9500 would enable the
neutrality of the market to continue.
GBPUSD
Dominant bias: Bullish
This trading instrument has become seriously
bullish. Price has gone upwards by 680 pips this month, and there is much room
for it to go upwards this week. The instrument has closed just below the
distribution territory at 1.3600 on Friday. The distribution territories at 1.3600,
1.3650 and 1.3700 would be reached this week (even if there would be any
reversals later).
USDJPY
Dominant bias: Bullish
USDJPY is bullish in the short-term, but bearish in the long-term. The
market went bearish in the first week of this month and went bullish last week,
generating a bullish signal. There is a possibility that the supply levels at
111.00 (which was tested last week), and 111.50 would be reached. On the other
hand, there is a stronger possibility that price would go bearish this week, so
the demand levels at 110.00, 109.50 and 109.00 could be reached this week.
EURJPY
Dominant bias: Bullish
The market rose from the demand zone at 130.00, and went upwards to test
the supply zone at 133.00. This has resulted in a bullish bias, and further
bullish movement could be seen as price makes more attempt to continue going
northwards. However, the outlook on JPY pairs is bearish for this week, and
EURJPY may also experience a vivid pullback before the end of the week, and
that is something that could bring about a bearish bias on the market.
GBPJPY
Dominant bias: Bullish
Last week, GBPJPY proved to be the strongest moving pair among JPY pairs.
Price gained more than 820 pips, causing a huge Bullish Confirmation Pattern in
the market. Further bullish movement could be seen this week, taking price
towards another supply zones at 151.00 and 151.50. Then, there is a high
probability of a large pullback before the end of this week, owing to a bearish
expectation on JPY pairs.
This forecast is concluded with the quote below:
“Over the years, I've
had the most profitable results by always making an attempt to receive pay for
the risk I am taking. I want to be paid to trade.” – Joe Ross
