Here’s the market outlook for the week:
EURUSD
Dominant bias: Bearish
The market was bearish last week, and the bearishness has become
pronounced since September 26, 2018. Since the mentioned period, price has lost
about 300 pips (or more or less). The market would remain bearish as long as
USD is strong, and the support lines at 1.1450, 1.1400 and 1.1350 may be tested.
There could be temporary bullish effort on the way, but the general movement
this week should be bearish.
USDCHF
Dominant bias: Bullish
The Bullish Confirmation Pattern on this market has been steady and
unaffected. Since September 21, price has gained about 390 pips (it gained
about 140 pips last week). Price topped at 0.9953 and ended Friday on a slight
bearish note. The outlook for this week is bearish, as price is expected to
continue going upwards until it reaches the resistance level at 1.0000 where a
very strong and stiff resistance will be met.
GBPUSD
Dominant bias: Bearish
The bias on the GBP is bearish but there is a serious rise in a bullish momentum,
which would eventually render the bearish outlook ineffectual. Price went
downwards from Monday till Wednesday and then started going upwards. The upwards
movement was strong enough to threaten the extant bearishness in the market,
and once the market gains another 200 pips (which is expected to happen this
week), the bias on the market will turn bullish.
USDJPY
Dominant bias: Bullish
USDJPY went upwards from October 1 to 3, and then started going downwards
from October 4. Unless the demand levels at 112.00 is breached to the downside,
the outlook on the market will remain bearish. A movement from here, towards
the north, will result in confirmation of the current bullish bias. That means
failure to go upwards will eventually result in “sell” signal in the market.
EURJPY
Dominant bias: Bullish
This cross is bearish in the short-term, but bullish in the long-term.
The movement that was experienced last week was not that much, but this week
might be different, as JPY pairs break out with renewed momentums. Should price
drop 200 pips from here, the bias on the market will turn bearish. Should price
rise by 200 pips from here, the long-term bullish bias on the market will
eventually be saved.
GBPJPY
Dominant bias: Bullish
The rally attempt that was seen last Friday ended the consolidation that
was witnessed in the last two weeks. If not for the fact that the JPY is kind
of strong in its own right, the market would have gone upwards significantly
last week (Just as GBPCHF, GBPAUD and GBPNZD have gone significantly upwards). However,
any signs of weakness in JPY may result in a strong bullish movement, which may
enable price to reach the supply zones at 149.50, 150.00 and 150.50.
This forecast is concluded with the quote below:
“Your trading life is
the sum total of all of your experiences, not just the ones you are comfortable
with.” – Woody Johnson
