Weekly Trading Forecasts On Major Pairs (June 16 - 20, 2014)

[⭐ analyst75]

Here’s the market outlook for the week:

EURUSD

Dominant bias: Bearish

In a slow and tardy manner, this pair has been trending downwards. The movement is tardy because consolidation phases can be perceived in the market; yet it can also be clearly seen that the bears dominate the market. There is a shallow rally at the moment, which ought to be contained at the resistance lines of 1.3600 and 1.3650 respectively. This is necessary for the bearish trend to continue, because any movement above the resistance line would mean the end of the bearish bias.

USDCHF

Dominant bias: Bullish

It is expected that this currency trading instrument close above the strong psychological resistance level at 0.9000. This is a must – for the bullish outlook to continue to be valid. The market breached the resistance level several times this week and last week, but it is was unable to stay above it. This inability to close above the resistance line or go southward has led to a recent sideways movement. This is what would happen eventually: should the price fail to close above the resistance level at 0.9000 and go further towards the resistance level at 0.9050, another strong bearish bias would start. The USD may not reach parity with the CHF as soon as we think.

GBPUSD

Dominant bias: Bullish

There has been a significant upwards surge on this market. The price was bullish last week, and it experienced serious volatility earlier this week. From the accumulation territory at 1.6750, the Cable rallied by more than 240 pips. The distribution territory at 1.7000 is thus an easy target. This is a great psychological zone, and should the price succeeded in closing above it, the next target would be the accumulation territory at 1.7100. However the possibilities of pullbacks along the way cannot be ruled out.

USDJPY

Dominant bias: Bearish

The USD/JPY has become bearish, going downwards from the supply level 102.50. The current rally in the price may be another opportunity to sell short; provided the rally does not take the price above the supply level at 102.50. Should the price go further southward, it might reach the demand levels at 101.50 and 101.00.

EURJPY

Dominant bias: Bearish

This is also a bear market. The price has bounced up from the demand zone at 138.00, but this is supposed to be limited. The price may soon fall downwards again, testing that support zone, even breaking it to the downside.

This forecast is concluded with the quote below:

“Sometimes we needed a little bit of luck, but if we followed the strategy, we were more likely to come out on top.” – Lee Sandford

[Brendan Hill]

Day trading is a contributing strategy were you, for the most part, close your open positions before the finish of a trading session. Most day traders need to abstain from holding positions expedite and take out the risk of having a market-moving ominously against you when the market reopens the following day. For some markets, for example, forex, there is nonstop liquidity, however, for some CFDs, there is no liquidity when a market is shut. Preceding beginning you must set up your day trading instruments, for example, software, and news stream.