EURUSD Forecast
The EURUSD had a significant bearish momentum yesterday. As you can see on h4 chart below, the broadening formation has been violated to the downside and break below 1.4050 suggests potential bearish outlook. This fact should trigger further bearish momentum testing 1.3870 and even key level 1.3750. However CCI in oversold area and heading up on h4 chart so watch out for potential upside pullback testing 1.4050 and 1.4120 resistance area. Break above 1.4120 should be seen as bearish scenario failure.
GBPUSD Forecast
The GBPUSD continued it’s bearish momentum yesterday. The rising wedge formation provided us a good bearish signal in nearest term. The bias remains bearish in nearest term testing 1.6250 area. However, please remember that above 1.6000, the medium term remains unclear so we have to be very careful. We need consistent move below 1.6380/50 area to confirm bearish scenario. Immediate resistance at 1.6468 (yesterday’s high). Break above that area should be seen as bearish scenario failure.
USDJPY Forecast
The USDJPY had a bullish momentum yesterday. On h4 chart below we can see that the trendline support did a good job preventing further bearish attack. We have something interesting here, a battle between the trendline support and a triple top formation. A breakdown below trendline support should set a bearish view towards 92.70 while breakout from the triple top around 95.30/40 should trigger further bullish scenario towards 96.05 and 97.00. I prefer a bearish scenario since the long term trend is bearish, but breakout from the triple top should be seen as bearish failure and potential bullish outlook.
USDCHF Forecast
The USDCHF had a significant bullish momentum yesterday, topped at 1.0906 and closed at 1.0878. The bias is bullish in nearest term but we seem to have good resistance around 1.0922 area. Only clear break above that area should trigger further bullish momentum targeting 1.1022. Immediate support at 1.0800. Break below that area should be seen as bullish failure.
EURJPY Forecast
The EURJPY had a moderate bearish momentum yesterday. I think it’s better to stay away right now and pay attention to the battle between trendline resistance and support as shown on h4 chart below. Since the false breakout from the trendline resistance Tuesday, I prefer a downside scenario below trendline support. Immediate support at 132.50. Break below that area should trigger further bearish momentum towards 131.50. Initial resistance at 134.50. Break above that area should trigegr further bullish scenario towards 136.00 area. CCI in oversold area and about to cross the -100 line up on h4 chart suggesting potential upside rebound.
GBPJPY Forecast
The GBPJPY attempted to push lower yesterday, bottomed at 153.84 but further bearish momentum was rejected as the pair whipsawed to the upside, hit the top at 156.31 and closed at 155.56. We have conflicting technical view here. The rising wedge formation suggests a potential downside scenario while the price now is back above the trendline suggests potential bullish outlook. If the pair able to keep position outside the rising wedge and break below the trendline we should have a bearish view. If the pair able to stay above the trendline and go back inside the rising wedge area, we should see it as bearish scenario failure and should trigger further bullish momentum. Immediate resistance at 156.31 followed by 157.44. Initial support at 153.80.
AUDUSD Forecast
The AUDUSD failed to continue it’s bullish scenario yesterday. On daily chart below we can see that it was a case of a false breakout from the range area of 0.8261 – 0.7700. At the same time, CCI just cross the 100 line down on daily chart suggesting further potential bearish momentum. I hope CCI is misleading now and continue bullish momentum above 0.8261 because if it’s right, we will go back into boring rage market again. I think it’s better to stay away and wait for further development.
