The EURUSD had a significant bearish momentum yesterday, bottomed at 1.4807 but failed to stay below key support area 1.4820, closed higher at 1.4860 and traded around 1.4887 at the time I wrote this comment. As you can see in my daily chart below, it’s a fact that after peaked at double top formation around 1.5062 area the pair keep moving lower in a bearish channel indicating significant downside correction and even potential bearish reversal, especially if we have a consistent move below 1.4820 area with 1.4625 and 1.4450 as technical targets.
Right now, after failed to stay below 1.4820 yesterday, the pair bouncing to the upside with 1.4950 as potential resistance to be tested. Break above that area should trigger further bullish momentum testing the bearish channel. Bearish correction can only be canceled if the bearish channel violated to the upside, but for me the real bullish continuation scenario can only triggered by a movement above 1.5062.
GBPUSD Forecast:
The GBPUSD made indecisive movement yesterday indicating consolidation. As you can see in my h4 chart below, price still unable to consistently move above 1.6842 indicating limited bullish so far. The bias is neutral in nearest term but as long as we have the valid bullish channel, bullish scenario remains intact especially if we have consistent move above 1.6842 at least targeting 1.6930. CCI just cross the 100 line down on h4 chart suggesting potential downside pressure testing 1.6692 support area. Break below that area should be a serious threat to the bullish scenario.
USDJPY Forecast:
Yesterday I said that we need a consistent move below 88.80 in order to continue the bearish scenario towards 88.00. The fact is, price failed to do so and whipsawed to the upside, but I think we have another false breakout (circle) above 89.40 key resistance area which once again give us a good false breakout strategy re-testing 88.80 today before testing 88.00 area. Only a consistent move above 89.40/50 can be considered as potential bearish scenario failure and lead to further bullish momentum towards 90.50 area.
USDCHF Forecast
The USDCHF failed to continue downside pressure yesterday, break above 1.0120, topped at 1.0207 but found resistance around the trendline resistance (red) which is my key resistance area at this phase. Only break above that trendline could be considered as potential bullish reversal scenario at least back towards 1.0337 area. The bias is neutral in nearest term but the rejection to move above trendline resistance might produce downside pressure re-testing 1.0120 support area (former resistance). Break below could trigger further downside momentum and keep the bearish scenario intact re-testing 1.0000/33 psychological level once again.
EURJPY Forecast
The EURJPY had significant technical movement yesterday. As you can see on my h4 chart below, price fell below the trendline support area indicating potential bearish scenario testing 131.70 area. However, we have upside rebound early today in Asian session as price struggle around the trendline area. CCI almost cross the -100 line up suggesting potential upside momentum. If price go back above the trendline area could be considered as a false breakdown which lead to significant upside momentum at least towards 133.50 and testing the trendline resistance (blue). Break above that trendline resistance should trigger further bullish momentum and keep the bullish scenario intact.
GBPJPY Forecast
Patiently waiting. That is the best we can do for now. As you can see in my daily chart below, price still trapped between trendlines (triangle) indicating consolidation but I think break on either side should be imminent. Breakout to the upside should trigger further bullish momentum targeting at least 151.50 while a breakdown to the downside should trigger further bearish momentum at least targeting 148.24 and could be seen as potential downside reversal scenario.
AUDUSD Forecast
The AUDUSD failed to continue its bullish momentum yesterday. On h4 chart below we can see that once again, price made a false breakout above 0.9327 before had a bearish momentum, bottomed at 0.9235 and closed at 0.9295. The way I see it, this fact could be seen as bullish exhaustion and could trigger significant downside pressure, even bearish reversal scenario especially if we have a break below 0.9180 area. I can see no clear direction now, so I will stay out from the market. On the downside, we have a support around the minor trendline support (blue). Break below that trendline should trigger further bearish momentum testing 0.9180 area.
. The bias is bearish in nearest term targeting 127.00 area but I think we need a valid break below 129.79 support area to confirm my bearish continuation view. Immediate resistance at 130.60. Break above that area should lead to further bullish correction but long position is not recommended at this phase.
