Weekly Trading Forecasts for Major Pairs (December 28 - 31, 2015)
Here’s the market outlook for this week: Content courtesy of Tallinex Limited (https://www.tallinex.com)
EURUSD
Dominant bias: Bullish
EURUSD moved up by 100 pips last week, and shows some determination to continue. Some equilibrium is expected this week (owing to a thin market), but the possibility of surprise movements cannot be ruled out - especially for pairs like EURAUD, EURNZD, etc. Low liquidity may allow bulls to target the resistance lines at 1.1000 and 1.1050 this week.
USDCHF
Dominant bias: Bearish
This pair made no significant moves last week, and it is likely that sideways movement will continue this week - potentially turning the market bias neutral. There are support levels at 0.9850 and 0.9800 and resistance levels at 0.9950 and 1.0000, so the expectation is for price to oscillate between these support and resistance levels this week, then break up or down during the first week of January.
GBPUSD
Dominant bias: Bearish
Price dropped 100 pips between Monday and Tuesday, only to rise by 110 pips during Wednesday and Thursday. The current price action could rightly be called a rally in the context of a downtrend, because the bearish outlook will remain valid while price stays below the distribution territory at 1.5050. A very strong bearish movement will likely resume on GBP pairs from the first week of January 2016.
USDJPY
Dominant bias: Bearish
This pair slid steady southward last week - from just below the supply level at 121.50, price was able to slip below the supply level at 120.50 to close at 120.27. There is a strong Bearish Confirmation Pattern in the market that should allow price to drop another 100 pips over the next 2 weeks. At present, long trades do not make much sense in this market.
EURJPY
Dominant bias: Bearish
This pair moved up by 100 pips in the first few days of last week, then dropped back the same distance to reach the demand zone at 131.50, supporting the extant bearish bias. At this juncture, movement will be dictated by events surrounding the Euro, which hints at a possible rally if the Euro strengthens further.
I’d like to conclude this forecast with the following quote:
“Money is perpetual in the markets and the objective is to keep as much as you can when it passes through your hands.” - Alpha7 (Trading Academy)
Azeez Mustapha
Currency Analyst
Tallinex Limited
The Jaycees Building, Stoney Ground
PO Box 362, Kingstown, VC0100
St Vincent and the Grenadines
https://www.tallinex.com
Privacy: You have been sent this email because of your existing relationship with Tallinex Limited - a company registered in St Vincent and the Grenadines (No. 22199 IBC 2014). We will send you similar updates periodically.
HIGH RISK WARNING: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all of your initial investment; do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading, and seek advice from an independent financial or tax advisor if you have any questions.
ADVISORY WARNING: Tallinex Limited provides references and links to selected blogs and other sources of economic and market information as an educational service to its clients and prospects but does not endorse the opinions or recommendations of the blogs or other sources of information. Clients and prospects are advised to carefully consider the opinions and analysis offered in the blogs or other information sources in the context of the client or prospect’s individual analysis and decision making. None of the blogs or other sources of information is to be considered as constituting a track record. Past performance is no guarantee of future results and Tallinex Limited specifically advises clients and prospects to carefully review all claims and representations made by advisors, bloggers, money managers and system vendors before investing any funds or opening an account with any Forex dealer. Any news, opinions, research, data, or other information contained within this website is provided as general market commentary and does not constitute investment or trading advice. Tallinex Limited expressly disclaims any liability for any lost principal or profits without limitation which may arise directly or indirectly from the use of or reliance on such information. As with all such advisory services, past results are never guarantee of future results.
