FOREX TRADING

Daily Technical Analysis

EURUSD Outlook

Finally, we have significant technical break on EURUSD. As you can see on my daily chart below, price break above the peak at 1.5062, topped at 1.5143 and closed at 1.5136. If you remember my technical study on November 12, I said about two double top scenarios: valid or failure scenario. When a chart formation fails, I believe the opposite scenario is in play. If the bearish reversal scenario fails, the bullish continuation is in play. So, whether a chart formation fails or valid, I always have a clue. Isn’t that great? I am in buy mode now, targeting 1.5300 area. We have an important resistance around 1.5150 area and need consistent move above that area before aim for 1.5300. Immediate support at 1.5090 followed by 1.5062. As long as price able to stay above 1.5062, the bullish scenario should remains intact. CCI in overbought area and heading down on h4 chart, so watch out for potential minor downside pullback.

GBPUSD Outlook

The GBPUSD had a significant bullish momentum yesterday, break above my key resistance 1.6692, topped at 1.6744 and closed at 1.6698. This fact should be seen as bearish scenario failure and potential bullish scenario targeting 1.6842 area. CCI in overbought area and heading down on h4 chart so watch out for potential minor downside pullback testing immediate support at 1.6670 area. Break below that area should lead us into no trading zone testing 1.6600 area and direction would become unclear for me.

USDJPY Outlook

As I had expected, the USDJPY continued its bearish momentum yesterday, bottomed at 87.20 and closed at 87.32. On h4 chart below we can see how a breakdown below range area at 88.80 gave us a good bearish signal. The bias is bearish in nearest term targeting 86.10 area. However CCI in oversold area and heading up on h4 chart so watch out for potential minor upside pullback testing 87.50 resistance area. Break above that area should trigger further upside correction testing 88.00 area, but long position is not recommended at this phase.

USDCHF Outlook

The USDCHF had significant bearish momentum yesterday. On h4 chart below we can see that after break below my trendline support, price had a nice bearish momentum, fell below psychological area 1.0000, bottomed at 0.9954 and closed at 0.9963. I think we are in a new phase of a bearish scenario. The bias is bearish in nearest term targeting 0.9890 area. CCI in oversold area and heading up on h4 chart so watch out for potential minor upside correction testing 1.0000 area. Break above that area should lead us into no trading zone but I prefer a bearish scenario at this phase.

EURJPY Outlook

The EURJPY attempted to push lower yesterday, slipped below my short target at 131.75, bottomed at 131.49 but closed higher at 132.19. The bias is neutral in nearest term as I am anticipating range area of 132.83 – 131.75 today. Break on either side should give us clearer direction towards 130.65 or 133.60 area. I prefer a bearish scenario and expecting breakdown below 131.75. However, note that false breakdown below 131.75 yesterday could produced upside momentum, so do not rush jump into the market.

GBPJPY Outlook

The GBPJPY continued its bearish momentum yesterday, bottomed at 145.62 and closed at 145.83. The bias remains bearish with 144.60 as potential technical bearish target. However CCI in oversold area and heading up on h4 chart so watch out for potential upside pullback testing 146.40 area. Break above that area should lead us into no trading zone and price might retreat towards 147.66 area but as long as price stay below 148.50, I prefer a bearish scenario.

AUDUSD Outlook

As I had expected, the AUDUSD had a bullish momentum yesterday, topped at 0.9321 and closed at 0.9317. We had some bearish pullback earlier today in Asian market, but that is normal for me, even good, give me opportunity to find lower price to buy. As long as price move in the bullish channel area, the bias should remains bullish. Technically we have important resistance around 0.9327 area. Break above that area should trigger further bullish momentum targeting 0.9404 area.

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