Weekly Technical Forex Forecast 11-15.02.2019


EUR/USD

The Euro continued falling and is currently trading near the support/lower limit of the local range 1.1267. Given that the decline was sharp, so we can consider a scenario of the breakdown of this mark, which will allow to open short positions.

The breakout movement should be swift and confident, as well as on large volume, which will be a more accurate and strong signal to enter the market. A stop loss should be placed slightly above the breakout volume bar. The potential of the deal is more than 100 points.

GBP/USD

The Pound went on trading within local consolidation between 2 strong levels. These are the support level 1.2866 and the resistance level 1.3094.

Taking into account these factors, we can open new deals only after a sharp and confident breakout of one of these levels and the exit of the price from the local range. The movement should be supported by the large volume, which will be a more accurate signal to enter the market.

While the price is trading within the range, it is better to stay out of the market.

USD/JPY

The Yen is also within the local range between 2 strong volume levels. These are the support level 109.35 and the resistance level 110.04. Thus, we can consider new trading scenarios only after a sharp exit from the local range. The breakout movement must be confident and on the large volume, which will be a more reliable signal to enter the market.

While the price is inside the consolidation, it is better to stay out of the market.

USD/CAD

The Canadian dollar corrected sharply downwards, but the fall was stopped by the strong support level 1.3234, in which the large volume are concentrated. Now the price is trading above this mark. Given this factor, we still should give preference to purchases. Long positions can be opened after the resumption of the rapid growth on the large volume, which will be a more accurate signal to enter the market. A stop loss should be placed just below the support level. The potential of the deal is more than 120 points.

AUD/USD

The Australian dollar is testing the support level/lower limit of the local range 0.7084. Thus, we can consider the scenario of the breakdown of this mark, which will be an excellent signal for opening short positions. The drop should be swift and strong, as well as on the large volume, which will be a more reliable signal to enter the market. A stop loss should be placed slightly above the breakdown volume bar. The potential of the deal is more than 80 points.

XAU/USD

Gold resumed steady growth, but the movement was on the average volume, so we cannot single out any new level or zone. Moreover, the price is within the local range between the support 1297.00 and the resistance 1325.80.

Considering all these factors, we should wait for a sharp exit of the price from the consolidation and only after that we can consider new deals. The breakout movement should be supported by the large volume, which will be a stronger signal to enter the market.

While the price is within the local range, it is better to stay out of the market.

The sentiment: this technical indicator confirms our trading scenarios with the Euro, Canadian and Australian dollars, which is an excellent additional signal. As with other instruments, we can open new deals only after a sharp exit of prices from consolidations.

Potentially good deals: EUR/USD, USD/CAD, AUD/USD

While out of the market: GBP/USD, USD/JPY, XAU/USD

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