EUR/USD
EURUSD initially fell during the day on Friday, but bounced in order to form a hammer. This happened on Thursday as well, and right at the 1.1050 level where we would anticipate seeing quite a bit of support. With that being the case, the market looks as if it is ready to continue going higher now. If we can break above the top of both hammers, the market should then try to reach towards the 1.13 level, perhaps even higher than that. 1 Week Free Trial in FOREX
Forecast- EURUSD fell quite a bit during the course of the week, testing the 1.1050 level. Ultimately, the market looks as if there could be buyers there, so we are willing to go long on a short-term chart, but at this point in time it's difficult to make a longer-term trade as there isn't much in the way of room in order to continue to place a longer-term trade. With that being said, we look to the shorter-term charts in order to place some type of position.
GBP/USD
The GBPUSD pair initially fell during the day on Friday but found enough support near the 1.4250 level to turn things around and form a bit of a hammer. At this point in time, it looks like we will probably bounce. However, there is a significant amount of resistance above that should continue to work against the value of the British pound. We recognize the 1.45 level is where we start to see serious selling opportunities going forward.
Forecast- The GBPUSD pair fell significantly during the course of the week, testing the 1.42 level for support. Ultimately, the market looks as if it will continue to go lower but we may get a slight bounce in this general vicinity. Rallies at this point in time should be selling opportunities, as the British pound continues to soften in general. We believe that this market is heading down to the 1.40 level given enough time, and as a result remain very bearish overall and believe that the market will continue to favour the short-sellers.
AUD/USD
AUDUSD initially fell on Friday, but turned back around to form a somewhat positive candle. However, there is quite a bit of resistance above and as a result we are not willing to start buying this particular market right now. On the other hand, if we can break above the 0.7250 level, which is the top of a shooting star, we would be buyers.
Forecast- AUDUSD pair fell during the beginning of the week, but found enough support below to turn things back around and form a hammer again. This happened the previous week as well, and we are now pressing up against what had previously been the uptrend line. A break down below the bottom of the hammer would be a rather negative sign, and a move below the 0.70 level very negative as well.
USD/JPY
The USDJPY pair went back and forth on Friday, showing quite a bit of reluctance to make any real move. Ultimately, this is a market that should continue to go lower, but we also recognize that a short-term bounce could happen. It's not until we get above the 150 level that we would be buyers, so we are looking for weakness to sell war break down below the bottom of the range for the session on Friday.
Forecast- The USDJPY pair initially tried to rally during the course of the week, but found enough resistance of the 150 level to turn things around and form a somewhat negative candle. Because of this, we find yourselves below the 113 level and it now looks as if the market is ready to go down to the 110 level. There is a significant amount of support in that general vicinity though, so we do not think that the market will go much lower than that anytime soon. Keep in mind that this market tends to be very sensitive to risk appetite, so as stock markets ago, so will this pair.