Weekly Technical Forex Forecast 21-25.08.2017


EUR/USD

After several unsuccessful attempts to exit from the consolidation, EUR/USD continued trading in the global range. Unfortunately, the price movement was on small volume, so it is impossible to allocate any new level or zone.
The level of support 1.1668 remains, in which the increased volume is concentrated.

volume euro tfxi

Thus, the scenario of trading on the euro remains the same: it is worth waiting for a confident exit of the price from the consolidation and only then we can consider new deals.
While the price is trading in this range, it is better to stay out of the market.

GBP/USD

GBP/USD is still trading in the consolidation near the local minimum. Also, the resistance level should be updated, which is now at the level of 1.2846, in which fairly significant volume is concentrated, after which the price has corrected upwards.

volume gbp tfxi

Given a strong downtrend, it is worth giving preference to short positions on the pound.
We can open sales after a confident and sharp breakdown of the support level 1.2846 on large volume to protect ourselves from false movements. A stop loss should be placed just above the breakdown volume bar. The potential of the deal is about 120 points.

sell gbp tfxi

USD/JPY

For USD/JPY it is necessary to allocate a new support level of 108.63 – 108.71, in which large volume is concentrated, after which the price jumped up sharply. Nevertheless, given the price fall throughout last week, it is worth giving preference to short positions on the yen.

volume jpy tfxi

We can open sales only after a sharp and sure breakdown of the level of support, and the breakdown movement should be on increased/large volume. A stop loss should be placed just above the breakdown volume bar. The potential of the deal is 100-110 points.

sell jpy tfxi

If the price continues trading in the consolidation, then it’s worth to be out of the market.

USD/CAD

USD/CAD showed a crazy fall on Friday and lost more than 75 points. This movement was on large volume, but, unfortunately, it was evenly spread throughout the movement, so it is impossible to allocate new volume levels or zones.

volume cad tfxi

Nevertheless, considering such a sharp fall of the price, it is worth considering the option of opening short positions in the case of a smooth correction of the pair up. The upward movement should be on a small volume. After the price stoppage, we can enter the market. A stop loss should be placed a little above the level of 1.2667. The potential of the deal is about 70-80 points.

sell cad tfxi

AUD/USD

After the test of the support level of 0.7880, in which a large volume is concentrated, the price showed a rather sharp growth on increased volume.

volume aud tfxi

Thus, the scenario of opening long positions on the Australian dollar remains relevant. We can open purchases after a slight smooth correction of the price down. A stop loss should be placed under the support level of 0.7880. The potential of the deal is about 70 points.

buy aud tfxi

XAU/USD

After the breakdown of the previous local maximum, a new resistance level of 1296.30 – 1300.50 was formed, in which a large volume is concentrated. The price showed a strong fall and now is trading in the global consolidation again.

volume gold tfxi

Given a strong uptrend, it is worth giving preference to long positions. We can open purchases only after a sharp and sure breakout of the resistance level on a large volume. A stop loss should be placed under the breakout volume bar. The potential of the deal is 130-140 points.

buy gold tfxi

If the price continues correcting or trading in the consolidation, it’s worth to be out of the market.

The sentiment: almost all our trading scenarios are confirmed by the mood of the market. Only the euro is not quite clear, as the price is in consolidation, and the sentiment shows that purchases should be in priority.

sentiment

The bottom line: there are a plenty of interesting scenarios for trading, so after appearance of confirming signals, we can trade almost all currency pairs.