0
95
Here’s the market outlook for this week:: Content courtesy of Tallinex Limited https://www.tallinex.com
EURUSD
Dominant bias: Neutral
EURUSD trended upwards on Monday and Tuesday - topping out at 1.1615 before sliding over 200 pips to close the week at 1.1403. Although the bullish gains have been erased, the market bias will not turn bearish until price moves below the support line at 1.1300 (which is expected this week): The outlook on EUR is bearish, and there could be a Bearish Confirmation Pattern by Friday.
USDCHF
Dominant bias: Bullish
Monday and Tuesday saw price dip to the support level at 0.9450, but further decline was rejected as price assumed a clean northwards direction, closing Friday above the support level at 0.9700 – a move of over 280 pips! The first market area to be attacked this week will be the resistance level at 0.9750, after which bulls will continue battling towards the resistance levels at 0.9800 and 0.9850, so outright bullishness should become more conspicuous by the end of this week.
GBPUSD
Dominant bias: Bullish
Bulls managed to push price towards the distribution territory at 1.4750, at which point they were overpowered by bears. Price has since dropped 320 pips to close the week below the distribution territory at 1.4450. What next? Since the outlook on USD is bright for this week, GBPUSD might have some difficulties going upwards (though not an impossibility). Importantly, GBP will be strong in its own right, and it may be observed gaining against other currencies such as EUR, AUD and NZD.
USDJPY
Dominant bias: Bearish
Price simply consolidated last week (though in the context of a downtrend), so direction is ambiguous for this week. We might see bears pushing the pair further downward; but that could equally be frustrated by expected USD strength. The monthly outlook on JPY pairs should remain bearish until around the end of May.
EURJPY
Dominant bias: Bearish
Market action was very similar to USDJPY last week - there were fleeting up- and down-swings, while the bias remained bearish. This week, further bearish movement is possible and might take price below the demand zones at 121.50 and 121.00. With the current JPY outlook being bearish and the expected weakness of the Euro, EURJPY should decline further.
I’d like to conclude this forecast with the following quote:
“I was born in San Juan City, Argentina. It is very close to the Andes Mountains. I have a degree in Business Administration. I've always been interested in trading, but what really forced my hand, and made me absolutely need to become a full-time trader, was a conversation I once had with a professor. When he learned I was experimenting with different automated trading algorithms, he laughed and told me I was a fool to think I could beat the market. Challenge accepted! From that moment, I became a trader!” - Maximiliano Lepez (Source: Collective2.com)
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.
