Here’s the market outlook for this week: Content courtesy of Tallinex Limited https://www.tallinex.com
EURUSDDominant bias: Bearish
Last week saw a consolidation to the downside - moving south by just 100 pips, and closing above the support line at 1.0950 on Friday. There is a “sell” signal in the market which might test the support lines at 1.0900, 1.0850 and 1.0800 this week as USD is expected to gain some strength. Most major pairs were subdued last week, but movement this week should be stronger than last.
Dominant bias: Bullish
Bullishness was maintained last week despite constant bearish threats and, despite a lack of strong gain price is above the important support level of 0.9800. However, there is now a major bullish obstacle - the resistance level of 0.9900 which has seen failed attacks, but bulls are yet to give up. This week will be decisive because there must be a breach of the resistance level at 0.9900 to avoid a clear pullback, and one favourable factor is the expected strength in USD.
Dominant bias: Neutral
This was another sideways week that resulted in a neutral outlook in the short-term, but this week will see a serious battle between bulls and bears - bulls want to push price upwards, but USD strength may make that difficult. Mixed results are expected for GBP pairs because GBP will be strong against some currencies like AUD and NZD, but likely weak versus others like JPY.
Dominant bias: Bullish
Price went up 200 pips last week - almost reaching the supply level at 107.50. Further bullish movement was rejected so the market corrected by roughly 150 pips. Although the 4-hour chart shows a Bullish Confirmation Pattern, the outlook on JPY pairs is bearish for this week so the correction could extend lower and lower, as the only factor able to help bulls is strength in USD.
Dominant bias: Bullish
Some effort was made to push price upwards, but the market topped at 118.46. Since JPY pairs may go south this week, the demand zones at 115.50, 115.00 and 114.50 could become potential bearish targets. If price drops below the demand zone at 114.00 then the outlook will have turned bearish.
I’d like to conclude this forecast with the following quote:
“Don’t let your day job keep you from indulging in the lucrative market.” - Ryan Mallory
The Jaycees Building, Stoney Ground
PO Box 362, Kingstown, VC0100
St Vincent and the Grenadines
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.