Topic: Weekly Trading Forecasts for Major Pairs (March 13 - 17, 2017) (Read 245 times)

Here’s the market outlook for the week:

EURUSD
Dominant bias: Bullish
This pair trended downwards from Monday to Thursday and then rallied significantly. This has resulted in a bullish bias on the market, as price nearly reached the resistance line at 1.0700. This week, further rally is anticipated because the outlook on Greenback is bearish for the week: a factor that may be favorable to EURUSD. The first target for the week is the resistance line at 1.0700, and then followed by the resistance lines at 1.0750 and 1.0800.

USDCHF
Dominant bias: Bullish
There is still a weak bullish outlook on this pair, though it is currently showing some weakness.  As long as EURUSD goes upwards, USDCHF would find it very difficult to go upwards. Price was corrected lower on Friday, and since USD is expected to be weak this week, the support levels at 1.0050 and 1.0000 could be tested. Attempts to breach the resistance level at 1.0150 has already failed and that resistance level would serve as a strong barrier to any bullish effort this week.

GBPUSD
Dominant bias: Bearish
GBPUSD went south by 140 pips last week. Price has trended downwards by 310 pips since February 27, 2017, resulting in a clear Bearish Confirmation Pattern in the market. There is now a bearish siege at the accumulation territory of 1.2150, which has been battered without any success. While GBP could fall further versus other currencies like CHF, AUD and NZD, it may not fall further versus USD, since USD may experience some weakness this week, coupled with strong obstacles at the accumulation territories of 1.1250 and 1.1200. There is a logical expectation of some rally in GBPUSD.

USDJPY
Dominant bias: Bullish
The market managed to go upwards last week after moving sideways in the first few trading days of the week. The bias is bullish, though not a strong one. Price closed below the supply level at 115.00 on March 10, and it might make effort to go upwards from there. This week, the outlook on JPY pairs is bullish, but the expected weakness in USD might scuttle bullish effort in the market.  There are supply levels at 116.00, 115.50 and 115.00. There are also demand levels at 114.50, 114.00 and 113.50.

EURJPY
Dominant bias: Bullish 
Just like USDJPY, this cross pair moved sideways in the first few days of the last trading week, and then broke upwards in agreement with the recent bullish outlook on the market. From the weekly low of 120.01, price went north by 280 pips, and closed at 122.51 on Friday. There is a Bullish Confirmation Pattern in the market, and since the outlook on JPY pairs is bullish for this week, further movement is expected on EURJPY (a movement of at least, 200 pips). EUR is currently strong in its own right and this is a factor that could help the cross pair upwards.

This forecast is concluded with the quote below:

“Trading is a business.” – Joe Ross