FOREX TRADING

Daily Technical Analysis

EURUSD Outlook

The EURUSD didn’t make significant movement on Friday. The bias is neutral in nearest term but we are still in bullish correction phase especially if price able to move consistently above 1.2450 area targeting 1.2520 before testing 1.2645 region. Immediate support at 1.2350 and the lower line of the minor bullish channel (red channel). Break below that area could diminish the bullish momentum, lead us into no trading zone but overall the bullish correction scenario remains intact as long as price move inside the major bullish channel (blue channel)

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Daily Technical Analysis

EURUSD Outlook

The EURUSD attempted to push lower yesterday, slipped below the minor bullish channel (red channel) but failed to break below 1.2240 support area before whipsawed to the upside, topped at 1.2411 and closed at 1.2388. This fact should keep the bullish correction scenario intact with nearest target at 1.2450 area before testing 1.2520/30 region. Downside risk in nearest term indicated by CCI divergence but as long as price move inside the minor bullish channel the bullish correction scenario remains strong. Immediate support at 1.2350/00 area. Break below that area could diminish the upside momentum, lead us to no trading zone in nearest term testing 1.2240 support area but overall we are still in bullish correction phase.

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EURUSD

Recovery off 1.1875, 07 Jun annual low, breached 1.2352 resistance yesterday, to open 1.2454/1.2485, 28 May high/76.4% retracement of 1.2671/1.1875 descend. 1.2345/39 should now underpin advance, while key support now stands at 1.2240, yesterday’s low, and break below here to signal bear resumption.

Res: 1.2415, 1.2454, 1.2485, 1.2525
Sup: 1.2339, 1.2316, 1.2240, 1.2214

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Daily Technical Analysis

EURUSD Outlook

The EURUSD continued its bullish momentum yesterday after break above the trendline resistance as you can see on my h4 chart below. This fact could trigger further bullish correction testing 1.2450 especially if price able to move consistently above 1.2350 area today. Immediate support at 1.2240/20 area and the lower line of my minor bullish channel (red channel). Break below that area could lead us into no trading zone in nearest term but as long as price move inside the major bullish channel (blue channel) the upside correction scenario remains intact.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD attempted to push higher yesterday, topped at 1.2297 but closed lower at 1.2219. The bias is neutral in nearest term. We are still in upside correction phase but still within the context of a major bearish scenario. I divide this bullish correction into two phases, the minor (red channel) and the major (blue channel). Break below the minor bullish channel could trigger further bearish pressure testing the major bullish channel but as long as the major bullish channel hold the upside correction remains intact. On the upside, as a result of the latest price action, I have a new trendline resistance (white). Break above the trendline could trigger further upside scenario targeting 1.2350 before testing 1.2450 region. Immediate support at 1.2150. Break below that area could trigger further bearish pressure testing 1.2050 – 1.2000 region.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD continued its bullish correction earlier today in Asian session. On h4 chart below we can see that price break above the trendline resistance indicating potential further upside correction testing 1.2230 before targeting 1.2325/50 even 1.2450 this week but the major scenario remains bearish. The tricky thing is that we have a gap between Friday’s close price (1.2093) and today’s open price (1.2118). Gaps are oftenly filled so a downside movement back towards 1.2093 should not be a surprise too, but as long as price still move in the bullish channel (blue channel), we are still in upside correction phase. Only a movement below that bullish channel and below 1.2000 could potentially end the upside correction and continue the major bearish scenario towards 1.1800 and 1.1600 area.

GBPUSD Outlook

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Daily Technical Analysis

EURUSD Outlook

The EURUSD continued its bullish correction yesterday. On h1 chart below we can see that price is ready to test the minor trendline resistance indicating critical technical point at this phase. A break above the trendline and consistent move above 1.2150 resistance area could trigger further recovery testing 1.2325 region. On the bearish side, we have a rising wedge formation indicating potential bearish view especially if the formation violated to the downside testing 1.2000 and the lower line of the bullish channel. Note that we still need a violation to the bullish channel to end this upside correction phase.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD attempted to push higher yesterday, topped at 1.2072 but unable to consistently move above 1.2050, and closed lower below 1.2000 psychological area. The Euro has been moving in rapid bearish movement since December 2009 from 1.5140, so any upside pressure is normal at this phase as price already in oversold area. We need a clear break below the minor bullish channel (blue channel) to continue the bearish scenario testing 1.1800 and 1.1600 area. As you can see on my h1 chart below, price has to move above the minor trendline resistance (red) to continue the bullish correction scenario. We still have some space for the upside correction in nearest term while market is still volatile, but the main scenario remains to the downside. Immediate resistance at 1.2050/70 followed by 1.2150 region.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD was indecisive yesterday. On h1 chart below we can see that price is now making a minor bullish channel (blue channel) indicating potential upside correction, which is normal after significant drop below 1.2000 area and the fact that price already in oversold area, but the main scenario remains to the downside. Immediate resistance at 1.2000 – 1.2050 area. Consistent move above that area could trigger further upside recovery testing 1.2150 region. On the downside, we need a clear break below the minor bullish channel to continue the bearish scenario testing 1.1800 before targeting 1.1600 this week.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD continued its bearish momentum earlier today in Asian session, hit 1.8882 level and seems comfortable moving below 1.2000 indicating potential bearish continuation targeting 1.1800 before testing 1.1600 this week. Upside risks/correction indicated by a falling wedge formation as you can see on my h4 chart below and the fact that price is in oversold area. This upside pullback scenario is valid only when price breakout above the formation, so until that happen, I am still in bearish mode for this pair. Immediate resistance at 1.2000. Break above that area could trigger further upside pullback testing 1.2150 but the main scenario remains bearish at this phase.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD attempted to push higher yesterday, slipped above the bearish channel but whipsawed to the downside, bottomed at 1.2152 and closed at 1.2160. On h4 chart below we can see that this is the case of a false breakout which usually trigger a significant bearish pressure especially if price able to move consistently below 1.2150 support area targeting 1.2111 before testing 1.2000. Immediate resistance at 1.2230/50 area. Break above that area could trigger another upside pullback testing 1.2325/50 region. The major bearish scenario pass another test and seems ready to challenge psychological strong support area.

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EURUSD

Undergoes a stronger recovery off a new annual low at 1.2110 and yesterday’s higher low at 1.2174. Break above 1.2352 now needed to suggest a swing low in place for a possible test on 1.2451. Downside, break below 1.2175 opens 1.2110 for a retest.

Res: 1.2325, 1.2352, 1.2381, 1.2451
Sup: 1.2224, 1.2174, 1.2153, 1.2110

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Daily Technical Analysis

EURUSD Outlook

The EURUSD attempted to push lower yesterday, bottomed at 1.2175 but closed higher at 1.2249. On h4 chart below we can see that price still moving inside the bearish channel indicating the major bearish scenario remains intact but surely under significant pressure since failure to consistently move below 1.2150 support area. A violation to the bearish channel and movement above 1.2350 could be seen as potential bearish failure, at least in nearest – medium term testing 1.2450/70 area even back to 1.2671 region. On the downside, only another movement below 1.2150 could resume the major bearish scenario towards 1.2000.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD was very volatile yesterday. Price attempted to push lower, bottomed at 1.2111 but whipsawed to the upside, topped at 1.2352 and closed lower at 1.2230. On h4 chart below we can see that price still move inside the bearish channel indicating the major bearish scenario remains intact but the significant downside rejection as price is getting closer to 1.2000 area could be a serious threat to the technical bearish view at least in nearest term. The bias is neutral in nearest term. I will pay attention to 1.2350 resistance and 1.2150 support area today. Break above 1.2350 could be a serious threat to the bearish scenario while another movement below 1.2150 could trigger another downside pressure testing 1.2000 but still vulnerable to another buying on dips activity as some people might see 1.2000 – 1.2100 area as a good area to start buying the Euro again.

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Daily Technical Analysis

EURUSD Outlook

The EURUSD didn’t make significant movement yesterday. Earlier today in Asian session, price struggling around 1.2260 support area as you can see on my h1 chart below indicating critical intra-day technical phase. The major scenario remains to the downside but we need a consistent move below 1.2260 to continue the bearish pressure testing 1.2140/50 area before targeting 1.2000. A failure to do so could open the door for another upside pullback testing 1.2350 even 1.2450/70 region.

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