Weekly Trading Forecasts on Major Pairs (September 22 - 26, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bearish The bias on the EURUSD is still very bearish irrespective of the shallow rally the market is currently experiencing. In this market, rallies have proffered opportunities to sell short in the context of a downtrend. The continuation of the bearish bias may force the price to test the support line at 1.2800. Along the way, serious bullish breakouts may be contained at the resistance lines of 1.3000 and 1.3050. Any movement above these resistance lines would signify the beginning a new bullish journey. USDCHF Dominant bias: Bullish This currency trading instrument is in a bullish mode – with a clean Bullish Confirmation Pattern in the market. The bulls have always been interested in pushing the pair further upwards, but this is not without stubborn challenges from the bears. The challenges have resulted in high volatility in the market, and the price may still manage to reach the resistance level at 0.9500, which is the target for next week (provided that the USD continues to be strong). GBPUSD Dominant bias: Bullish This pair - unlike its EURUSD counterpart - has broken upwards in favor of the bulls. In fact, the price action in the market has resulted in an established bullish signal and short trades are no longer rational. The market is now moving above the accumulation territory at 1.6300, going towards the distribution territory at 1.6450. As long as the market is above the aforementioned accumulation territory, the bullish signal is considered valid. USDJPY Dominant bias: Bullish This is a strong bull market which has been going upwards since July 2014. Since then, the perpetual weakness in the Yen has enabled this pair to move north by over 750 pips. The same weakness in the Yen has enabled most other JPY pairs go north significantly. This market looks very overbought and a reversal is imminent, but is not advisable to go against the trend until that reversal has taken place. The market can still go further north; testing the supply levels at 109.50 and 110.00. Should the Yen gain any considerable stamina, the market may plunge towards the demand levels at 107.00 and 106.50. EURJPY Dominant bias: Bullish It is not a surprise that the EUR, which is weak somewhere else, is strong versus the JPY. The weakness in the JPY is the basic reason for the bullish momentum that is driving this market upwards. From the demand zone at 136.00, the price skyrocketed above the demand zone at 140.00, going further upwards. This is a movement of over 440 pips since last week. The market is overbought, but it is still seen as being capable of reaching the supply zones at 150.50 and 160.00 respectively. Nevertheless, the downside risk is now very high and any sudden strength in the Yen could make the price tumble, reaching the demand zones at 139.00 and 138.50. This forecast is concluded with the quote below: "With love and patience, nothing is impossible for a dedicated trader."-- Old Trader
Weekly Trading Forecasts on Major Pairs (September 29 – October 3, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bearish The bearish journey of this pair has continued unabated; in a slow and steady manner. In the past several weeks, the market has been breaking one support line after the other and it is currently trading below the resistance line at 1.2800. Further bearish journey might cause the price to test another support lines at 1.2700 and 1.2650 successively. Along the way, there is also a risk of large rallies – which can be brought about by sudden weakness in the Greenback. The probable rallies can take the price towards the resistance lines at 1.2900 and 1.2950. USDCHF Dominant bias: Bullish The USDCHF pair has been achieving incredible feats by breaking one resistance level after the other. The pair has succeeded in closing above the support level at 0.9400, going further upwards. As long as the USD is strong (and the EURUSD is weak), the pair would be going upwards. There are possible targets at the resistance levels at 0.9500 and 0.9550; whereas the support levels at 0.9350 and 0.9300 should act as barriers to southward attempts along way. GBPUSD Dominant bias: Bullish There is a bullish signal in this market, as long as it stays above the accumulation territory of 1.6300. However, the bullish signal is very precarious because of the bears’ effort to drag the price further downwards. The market is largely moving sideways and thus, a breakout is expected. A breakout to the upside may cause the price to test the distribution territories at 1.6450 and 1.6500, while a break to the downside would cause the price to test the accumulation territories at 1.6200 and 1.6150 respectively. USDJPY Dominant bias: Bullish This currency trading instrument is still strong, given the Bullish Confirmation Pattern in the market. The USDJPY can still go further north, but long orders should be handled with caution because the possibility of a determined bearish correction is now very high. While the USDJPY might manage to reach the psychological supply level at 100.00, any exponential weakness may cause the market to retrace southward towards the demand levels at 108.00 and 107.50. EURJPY Dominant bias: Bullish This cross is still generally bullish, but the pullback that has occurred since last week has made the price action dangerous for the bulls. With a movement below the demand zone at 138.50, the bullish bias would be rendered completely invalid. The price needs to break the supply zone at 140.50 to the upside so that the bullish trend can resume; otherwise we may expect the bias to turn completely bearish. This forecast is concluded with the quote below: “In financial markets too, there are underlying forces an investor or trader has to know and needs to respect in order to be successful.”– Dirk Vandycke
Weekly Trading Forecasts on Major Pairs (October 6 - 10, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bearish The EUR is now one of the weakest currencies among the majors, while the USD is the strongest currency among the majors. Hence, the EURUSD dropped sharply again last week, dropping below the resistance line at 1.2550. Further downwards movement may cause the price to test the support lines at 1.2500 and 1.2450. However, it is very much likely that the EUR would begin to rally before the end of this week, which may eventually cause the aforementioned support lines to end up aiding the bulls. USDCHF Dominant bias: Bullish The movement of this market is largely determined by what is happening to the USD and the EURUSD. A serious rally in the EURUSD may result in a sharp pullback on the USDCHF, which may make it to test the support level at 0.9550; whereas a continuation of the weakness in the EURUSD may cause the USDCHF to test the resistance level at 0.9750. But it should not be thought that the USD would reach parity with the CHF. GBPUSD Dominant bias: Bearish The Cable dropped by over 270 pips last week, closing below the distribution territory at 1.6000. The price may reach the accumulation territory at 1.5900, which could be easily test this week – it could even get breached to the downside. On the other hand, the distribution territories at 1.6050 and 1.6100 may be targeted by the bulls. USDJPY Dominant bias: Bullish This is a very strong currency trading instrument, forming a Bullish Confirmation Pattern in the market. There was a sharp pullback in the market last week, brought about by transitory stamina in the Yen. Eventually, the sharp pullback proffered an opportunity to go long when things went on sale in the context of a downtrend. The current rally in the market could lead the price towards the supply level at 110.50. EURJPY Dominant bias: Bearish Since this market tested the supply zone at 141.00, it has come down by over about 400 pips. The demand zone at 137.00 has been tested, and the demand zone to watch this week is at 136.00. Should the EUR rally significantly enough, there may be a bullish run in this market, which could make become a threat to the current bearish outlook. This forecast is concluded with the quote below: “Information is power. Most big profits are gained through one person knowing something that most other people don’t.”– Skip Archimedes Copyright: Tallinex
Weekly Trading Forecasts on Major Pairs (October 13 - 17, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bearish Recently, this pair made some commendable effort to rally, but the Greenback is still very determined to continue showcasing its strength. The attempted rally in the market had almost invalidated the bearish outlook before the bears succeeded in pushing the price significantly south. The price is now under the resistance line at 1.2650, and should the bears hold out long enough, the price could test the support line at 1.2500 again. USDCHF Dominant bias: Bullish The weakness on the EURUSD has invariably had salutary effect on the USDCHF. There was a pullback that almost resulted in a Bearish Confirmation Pattern, but the bulls were again able to push the price upwards, allowing it to go above the support level at 0.9550. With further bullish determination, the price may end up reaching the resistance level at 0.9701 – which is a level that has long been targeted by the bulls. GBPUSD Dominant bias: Bearish Since the Cable is positively correlated with the EURUSD, it is no wonder that the former would go almost in the same direction with the latter (in most cases). There was a noticeable attempt to push the price upwards. However, the bears subjugated the bulls and ended up pushing the price downwards; which allowed the Bearish Confirmation Pattern to form in the market. Further southwards movement in the price may enable it to reach the accumulation territory at 1.5950 again. USDJPY Dominant bias: Bearish Yes, the JPY is strong and the mighty USD is not even spared. This currency trading instrument has been going downwards recently, making it illogical to go long. Nevertheless, the demand levels at 107.50 and 107.00 may succeed in halting the bearish movement. While it is possible that the price may test the aforementioned demand levels, the possibility of a rally exists for next week, which may bring the price towards the supply levels at 109.00 and 109.50. EURJPY Dominant bias: Bearish This market dropped by over 140 pips this week, breaching the demand zone at 136.00 to the downside. The demand zones at 135.50 and 135.00 may be tested, but they may end supporting the bullish effort, since it is possible that most JPY pairs may rally this week. Should this prove to be correct, the price may reach the supply levels at 137.00 and 138.00. This forecast is concluded with the quote below: “I have always been fascinated by being successful in the markets and making my way there.”– Rene Wolfram Copyright: Tallinex.com
Weekly Trading Forecasts on Major Pairs (October 20 - 24, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bullish The major determinant of the direction of the EUR/USD (including most other USD pairs) is the USD itself. As a result of the weakness in the USD, the EUR/USD pair has been able to sustain its bullish attempts, which have been going on for about two weeks. There is now a Bullish Confirmation Pattern in the chart, and the price may end up reaching the resistance line at 12900. There are support lines at 1.2700 and 1.2650. The current pullback in the market may proffer opportunities for long trades. USDCHF Dominant bias: Bearish This pair has inevitably been moving in the opposite direction to the EUR/USD – hence the bearish outlook on it. Since October 6, 2014, the price has dropped by almost 300 pips. There is a high probability that the weakness in the market may continue, enabling the price to test the support lines at 0.9400 and 0.9350 respectively. Meanwhile, any bullish attempts may be frustrated at the resistance levels of 0.9550 and 0.9600. GBPUSD Dominant bias: Bullish This market is bullish because of the bullish effort on it, and the bullish effort has become strong enough to drive the price above the accumulation territory at 1.6050. Long trades are no longer advisable here, unless the price drops below the accumulation territory at 1.6000. Really, the price is expected to continue going upwards within the next several trading days, reaching the distribution territory at 1.6200. USDJPY Dominant bias: Bearish This has remained a bear market, unless the current rally in the context of the downtrend continues until the price is able to reach the supply level at 108.00. By all indication, it seems the market is bent on moving upwards, but one should stay aside until the supply level is breache to the upside. Otherwise, this may turn out to be another short-selling opportunity. EURJPY Dominant bias: Bearish The scenario on this currency trading instrument is nearly similar to that of the USD/JPY. The market is making some commendable effort to go north, but the overall bias remains bearish. This is a highly volatile market, with upswings alternated by downswings. The high volatility should be put into consideration when trading. When the instrument moves above the demand zone at 137.00, it can be said the bearish bias is over; otherwise, buyers should be cautious. This forecast is concluded with the quote below: "At the heart of all trading is the simplest of all concepts—that the bottom-line results must show a positive mathematical expectation in order for the trading method to be profitable."- Chuck Branscomb Copyright: Tallinex.com
Weekly Trading Forecasts on Major Pairs (October 27 - 31, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bearish This is a weak market, and the current shallow rally is another opportunity to go short. This week, there is a possibility that the price would go south, reaching the support lines at 1.2600 and 1.2550 respectively. The resistance lines at 1.2750 and 1.2800 ought to serve as hindrances to the bulls’ interests, for the bulls may want to push the price upwards. USDCHF Dominant bias: Bullish The USDCHF has some strength in it, as opposed to the EURUSD, and the current negligible bearish retracement may give the bulls a good chance to enter the market at a better price. This week, there is a possibility that the price would go north, reaching the resistance levels at 0.9600 and 0.9650 successively. The support levels at 0.9450 and 0.9400 should act as formidable barriers to the bears’ interests, for the bears may want to push the price downwards. GBPUSD Dominant bias: Neutral There is no clear directional bias on the Cable, especially as far as the recent price action is concerned. It is not unusual for the price to trend upwards, only to trend downwards again (all in the near term). Looking at the price action more closely, it would be noticed that the bulls are making some sincere effort to gain upper hands; hence the current consolidation to the upside. It is more likely that when a breakout does occur in the market, it would be to the upside. Should this prove to be correct, the price may reach the distribution territories at 1.6150 and 1.6200. USDJPY Dominant bias: Bullish This currency trading instrument has been going upwards in a slow and steady manner. The price is currently above the demand level at 108.00, and a break above the demand level at 108.50 would result in a very strong Bullish Confirmation Pattern in the market. Given what is happening in this market, short trades are presently not advisable. There is a demand level at 107.00. EURJPY Dominant bias: Bullish The Euro itself is not strong, but here, the Yen is weaker than it. This reality has reflected in the bullish effort on this cross. Since testing the demand zone at 135.50, the price has gone upwards by around 150 pips. The supply zone at 137.00 is now under siege – almost giving way as it is being battered by buying pressure. As it is expected of most JPY pairs, the cross may go further upwards this week, reaching the supply zones at 137.50 and 138.00. This forecast is concluded with the quote below: “I enjoy talking about trading and would like to convince people that you can learn to trade just as you can train for any other profession and that there's nothing "evil" about it.” - Ruediger Born Copyright: Tallinex.com
Weekly Trading Forecasts on Major Pairs (November 10 - 14, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bearish The outlook on the EURUSD remains bearish as the market dropped below the support line at 1.2400. Since then, the market has bounced upwards a little, closing almost above 1.2450. While the price could hit the support line at 1.2400 again, it is now more likely that the EURUSD would rally next week or after that, especially when the market crosses the resistance line at 1.2600 to the upside. The bias would have turned bullish by then. USDCHF Dominant bias: Bullish This currency trading instrument is now bullish, but things may not be so by the end of next week or after that. It is possible that the bulls may manage to push the price further upwards to the resistance line at 1.9750, but it is not likely that the price would go above that resistance line – at least for the time being. The price has being corrected lower (which some may see as an opportunity to go long). Should any strength develop in the CHF, which is expected to become strong next week or after that, the USDCHF would fall towards the support level at 0.9550. GBPUSD Dominant bias: Bearish The Cable trended downwards last week, dropping by more than 200 pips. The price hit the accumulation territory at 1.5800 before the recent weak rally. With further strength in the Greenback, the Cable could fall below that accumulation territory, but there is a possibility of the currently weak rally becoming stronger, therefore taking the price towards the distribution territory at 1.6000. USDJPY Dominant bias: Bullish This pair remains strong, with the Bullish Confirmation Pattern on it. The price went far beyond our weekly target and managed to test the supply level at 115.50, before turning a bit lower. With any stamina in the market, the supply level could be hit again. There is a demand level at 113.50, which is supposed to be a barrier to the bears’ effort, but the bullish outlook would be threatened when the price drops below the demand level at 113.00. EURJPY Dominant bias: Bullish The market closed at 142.72, on Friday, November 7, 2014. The market has been moving sideways for a few days. The overall trend is bullish, which may make the market remain bullish as a result of the Euro making effort to gain strength. On the other hand, the bullish effort may be rendered useless on this course when the Yen possibly gains a measure of stamina. This forecast is concluded with the quote below: “Trading is a fantastic life-style. I can live and trade anywhere in the world… As long as I’ve a solid Internet connection, let’s go!”– Dr. Alexander Elder Copyright: Tallinex.com
Weekly Trading Forecasts on Major Pairs (November 17 - 21, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bearish The outlook on this pair remains bearish, but it is now in a precarious condition. There was a significant bullish effort on Friday, and the bearish outlook may be put in a serious jeopardy when the price manages to go above the resistance line at 1.2600. As long as the price is below that resistance line, the bearish outlook may be valid. However, when the price breaches that resistance line to the upside, it could be the beginning of a medium-term bullish trend, which may hold out till early December 2014. USDCHF Dominant bias: Bullish This currency trading instrument is also bullish – though that bullish outlook is now seriously threatened. The market traded largely sideways within the last several trading days and later broke out in favor of the bears. While some may think of buying low, any movement below the support level at 0.9550 would mean that it is no longer sensible to seek long trades. This would happen especially in the face of the increasing stamina in the CHF. GBPUSD Dominant bias: Bearish This is a weak market. The GBP is now weak against most majors. The market dropped seriously this week, testing the accumulation territory at 1.5600, before the existing shallow upward bounce. With further weakness in the GBP, that accumulation territory may be tested again: it may even be breached to the downside. On the other hand, the Cable may also try to go into the normal positive correlation with its EURUSD counterpart, and in that case, a moderate transitory rally may be seen. USDJPY Dominant bias: Bullish The USDJPY remains bullish as a result of the marked weakness in the Yen. This is evident on most other JPY pairs, and this uptrend may continue for the rest of this month. The best thing to do now is to look for buying opportunities when things go temporarily on sale in the context of the extant uptrend. EURJPY Dominant bias: Bullish This cross was able to trend further higher recently; a bias which is expected to continue. Since last month, the cross has trended upwards by more than 1000 pips, for the Bullish Confirmation Pattern in the market is getting stronger and stronger. While the demand zone at 144.00 ought to be watched, the supply zone at 147.00 is a now potential target for the bulls. This forecast is concluded with the quote below: “Forex trading capitalizes on smooth, clean and consistent trends while mitigating risks. Currency price charts have many advantages in areas where you find drawbacks with stocks.”– Dr. Van K. Tharp Copyright: Tallinex.com
Weekly Trading Forecasts on Major Pairs (November 24 - 28, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bearish The hope of the EURUSD going seriously bullish in this month has been dashed. The price broke down through one support line and another, as the forlorn bull becomes listless. The price has closed below the resistance line at 1.2400, and it may soon test the support line at 1.2350. With further weakness in the market, the support line at 1.2300 may also be tested. The only thing that can change the situation is the weakness in the Greenback. USDCHF Dominant bias: Bullish This pair has been able to shrug off the bearish pulls there were trying to weigh it down. The bearish effort has been nullified and the strength in the market may continue into December 2014. The price has now closed above the support level at 0.9650, threatening the resistance level at 0.9700. That resistance level is now almost yielding and the next target for the bull would be the resistance level at 0.9750. GBPUSD Dominant bias: Bearish This is still a weak market – with no strong directional movement to the upside or to the downside last within the last several trading days. The accumulation territory at 1.5600 was tested last week and this week: it could be tested again. However, it is unlikely that the accumulation territory would be breached to the downside, and as a result of this, the price might make an attempt to rally anytime. USDJPY Dominant bias: Bullish This currency trading instrument is very strong, with a Bullish Confirmation Pattern in the market. Most JPY pairs have the potential to remain strong till the end of this month, so it would be OK to look to buy on dips. The current shallow sale should be seen as another opportunity to go long at a better price. There is a supply level at 119.00, which could be reached and breached as the price resumes its northward journey. EURJPY Dominant bias: Bullish From the supply zone at 149.00, the EURJPY plummeted by roughly 300 pips, closing below the supply zone at 146.50. The short-term outlook is bearish, but the dominant bias remains bullish, unless the price breaks the demand zone at 144.50 to the downside. A break below that demand zone would mean the end of the bearish outlook on this cross; otherwise the price can still resume its upwards journey. This forecast is concluded with the quote below: “Professional traders and institutional investors… use the odds offered by the markets to secure regular and, in particular, consistent incomes.”– Jens Rabe Copyright: Tallinex.com
Weekly Trading Forecasts on Major Pairs (December 1 - 5, 2014) Here’s the market outlook for the week: EURUSD Dominant bias: Bearish This pair showcases a seriously struggle between the bull and the bear, as price remains volatile. The bull is making attempt to push price upwards but now and then, this is being thwarted by the bear. Before it can be said that the bias has turned bullish, the pair must go above the resistance line at 1.2600. On the other hand, a movement below the support line at 1.2400 would signify the strengthening of the extant bearish bias. USDCHF Dominant bias: Bullish As long as EURUSD is bearish, USDCHF will be bullish. In fact, it is very much likely that USDCHF would remain bullish for the rest of the year 2014, and therefore, one could look forward to buying short-term pullbacks. Pullbacks into the support levels at 0.9600 and 0.9550 could be good entry signal for buyers, especially when bullish candles form after these support levels are tested. Only a break below the support level of 0.9550 would mean the end of the bullish outlook, providing that price closes below that level. GBPUSD Dominant bias: Bearish The weakness in the Cable is more pronounced than the weakness in EURUSD. Short trades are not currently recommended in this market, for price could test the accumulation territories at 1.5600 and 1.5550. The distribution territories at 1.5750 and 1.5800 should challenge any rallies that may want to start in the context of this downtrend. The idea of long trades may not be entertained until the distribution territory at 1.5800 is breached to the upside. USDJPY Dominant bias: Bullish This currency trading instrument has not reached the supply level at 119.00, but it is now close to reaching it. With the presence of the Bullish Confirmation Pattern in the market, it is likely that the supply level would be breached to the upside, as price targets another supply level at 119.50. Bearish retracements that take price into 118.00 and 117.50 temporarily would offer good opportunities to buy. EURJPY Dominant bias: Bullish EURJPY cross trended upwards at the beginning of this week and later moved sideways for a few days, forming a short-term base. On Friday, November 28, 2014, price broke upwards from the base – poised to go further upwards. The base is now a barrier to bearish retracements, being located around the demand level at 146.00. Price may now target the supply zone at 149.00. This forecast is concluded with the quote below: “Without the discipline to follow a plan, your trading results will be random at best.”– Dave Landry Copyright: Tallinex.com