Weekly Technical Forex Forecast 31.07-04.08.2017


EUR/USD

The euro continued its growth and fully absorbed the previous price fall, which is a good signal for the continuation of the global uptrend. The price growth was on increased volume, but, unfortunately, volume was evenly distributed throughout the chart, so it is impossible to allocate new levels or zones.

volume euro

Thus, purchases for the euro are a priority option. We can open long positions after a smooth correction down and the resumption of a price growth on increased volume. A stop loss should be set under the level 1.1647. The potential of the deal is 120 points.

buy euro

GBP/USD

GBP/USD showed rapid growth on Friday and completely absorbed the previous fall. The price tested the local maximum, but could not break it. Also worth noting the resistance level 1.3150, where increased volume is concentrated, after which the price fell sharply.

volume gbp

Given the presence of the local uptrend, long positions are in priority. We can open purchases after a breakdown of the resistance/local maximum on increased volume and fixing the price above it. A stop loss should be placed under the breakout volume bar. The potential of the deal is about 100 points.

buy gbp

USD/JPY

USD/JPY continued falling, while the price movement was on increased volume, which is an excellent indicator of the strength of the global downtrend. Unfortunately, volume was spread throughout the chart, so it is impossible to allocate a new level.

volume jpy

Nevertheless, given the trend and increased volume during the fall, it is worth considering exceptionally short positions. We can open sales after a small and smooth correction of the price up and the resumption of a fall on increased volume. A stop loss should be placed above the level of 111.30, from which the sharp fall of the price began. The potential of the deal is more than 100 points.

sell jpy

USD/CAD

USD/CAD fell sharply on Friday. The fall of the price was on large volume, and a new resistance level of 1.2457 – 1.2474 was formed, in which large volume is concentrated. Thus, this instrument continues a strong downward trend.

volume cad

Considering all factors, it is necessary to consider only sales for this currency pair. We can open short positions after the resumption of the price fall on increased volume. A stop loss should be placed above the resistance level. The potential of the deal is more than 100 points.

sell cad

AUD/USD

The Australian dollar is trading in the local consolidation. Moreover, volume on the market is very small, so it is very difficult to point out any level or zone. Thus, there is no a good place for a stop loss, which makes trading this currency pair quite problematic. Yes, there is a strong uptrend for the AUD/USD pair, so long positions are in priority, but now there is no a good opportunity for trading. Therefore, I advise you to be out of the market for this instrument.

volume aud

XAU/USD

Gold continued its growth and broke through the local maximum and, as a result, completely absorbed the sharp fall of the price, which was before. It should be noted that the price movement was sharp and on increased volume, which is an excellent signal for the continuation of the local uptrend.
It is also worth highlighting a new level of support 1263.40 – 1266.10, in which a fairly large volume is concentrated.

volume gold

Thus, it is worth considering only purchases on gold. Open long positions are necessary after a smooth correction of the price to the level of support. Stop loss should be placed below the level of 1259.00, from which a strong price increase began. The potential of the deal is more than 120 points.

buy gold

The sentiment: the mood of the “crowd” fully confirms all our scenarios, only for gold the situation is 50/50. Nevertheless, considering the strong uptrend, it is worth considering long positions.

sentiment

The bottom line: USD/JPY, USD/CAD and XAU/USD are in priority as we can trade by the trend + there are good places for stop losses. EUR/USD and GBP/USD are also pretty interesting pairs, but we need to get additional signals.