EURUSD Weekly Technical Outlook
The EURUSD market operation is presently sideways at the 1.17820/1.19250 horizontal resistance zone (magenta) from where it restored a southward drop in September 2018.
The EURUSD market operation is sideways on the weekly time frame at the 1.17820/1.19250 horizontal resistance zone (magenta) traceable to September 2018. The candlestick prints in the past three weeks point to an increase in bearish pressure and, technically, with a potential for a southward turnaround. The 1.15100/1.14100 zone (Sandybrown) is a significant horizontal support on the weekly time frame.
On the daily time frame, last week Tuesday, a bearish price action attempted a break below a rising trendline (blue) traceable to May 2020 but failed. During the remaining days of last week, bulls resisted the bearish influence and kept the rising trendline intact. However, the ‘wicky’ nature of the candlestick prints indicate a weakness in bullish momentum. Although the technical market structure still favours bulls, a significant bearish breakdown of the rising trendline (blue) on a daily closing basis will signpost the intent of bears to effect a southward drive.
Price action on the H4 time frame is presently disposed northward within the 1.17820/1.19250 horizontal resistance zone (magenta). The last H4-candlestick print on Friday attempted a retest of its upper boundary near 1.19250. Technically, bulls are still favoured and we may see a retest of the 1.20000 area (purple) before a southward turnaround. The area is traceable to May 2018 and is an extension of the operating horizontal resistance zone.
As a swing trader, I will await a potentially feasible bearish setup on a daily closing basis at an area of value.
I may be wrong. Trade safe and prosper.
Trap
GBPUSD Weekly Technical Outlook
GBPUSD market operation is southward on the monthly time frame having retested a falling trendline (red) in August and a previous horizontal resistance around 1.34500 (blue). Technically, the 1.25200 area (purple) is the operating horizontal support on the monthly time frame.
An evening star formation can be seen on the GBPUSD weekly time frame. The relatively big bearish continuation candlestick printed last week signposts the intention of bears to advance a southward drive. Presently, market operation is at the 1.27950 intermediate horizontal support area and we may experience some sideways or a brief retracement before a southward continuation.
The order flow context on the daily time frame presently favours bears more than bulls. Apart from the possible corrective northward retracement or sideways we may see in the early part of this week, bears have the potential to drive price action further southward. The 1.26200/1.25200 zone (Sandybrown) is the next horizontal support on the daily time frame.
I may be wrong. Trade safe and prosper.
Trap
USDJPY Weekly Technical Outlook
USDJPY market operation is disposed southward. On the weekly time frame, it has rejected the operating 106.271 horizontal resistance area (purple). The indecision candlestick printed two weeks ago was over-ridden by a relatively big bearish continuation candlestick last week, which broke significantly below the low of the bullish candlestick printed three weeks ago. Technically, we may see further bearish move this week.
On the daily time frame, price action is disposed negatively. But it has entered the horizontal support located at the 104.190 area (sandybrown). The candlestick prints of the last two days are bearish but have shadows on both ends. This indicates a struggle between bulls and bears. We should note that the bearish candlestick printed last week Friday had a lower shadow that is a bit longer than the upper shadow, indicating an increase in bullish pressure. We may see further bullish pressure in the early part of this week. However, should bears regain market control and significantly break down the104.190 area (sandybrown) on a daily closing basis, we may see them target the next horizontal support around 103.040 (light green).
On the H4 time frame, price action is on a retracement from the 104.350 area and the 105.290 area (magenta) is a potential horizontal resistance.I may be wrong. Trade safe and prosper.
I may be wrong. Trade safe and prosper.
Trap
AUDUSD Weekly Technical Outlook
AUDUSD market operation is technically disposed northward. However, on the weekly time frame, it is presently sideways. The candlesticks printed in the last three weeks have been within the 0.72250/0.73700 zone. Last week, an indecision candlestick was printed in the zone. The 0.71420 area is a significant horizontal support.
Technically, the AUDUSD price action is on a northward mode with an outer rising trendline (red) still intact after price action has breached southwards an inner rising trendline (black). The short term technical outlook favours bulls but the momentum is declining; with the recent candlesticks mixed and relatively small. I will await what price action does in the early part of this week.
I may be wrong. Trade safe and prosper.
Trap
EURUSD Weekly Technical Outlook
As the EURUSD market broke above the 1.17830 multi-year horizontal resistance in July, the 1.16480/1.19610 zone became technically the prevailing operating zone. On the weekly time frame, market operation turned sideways seven weeks ago just below the 1.19610 upper boundary of the zone. Last week, market operation printed an indecision candlestick that maintained the market ambivalence, indicating a decline in bullish momentum. We should note that a downward impulsive move began from the second week of April 2018 to the second week of March 2020, and market operation is presently within its 61.8/78.6 Fib retracement zone; this is an area which, technically, is susceptible to a southward turnaround.
On the D1 time frame, price action has broken below a rising trendline (red). However, technically, the market is still in a sideways mode within the 1.17360/1.19325 area (magenta), where topping candlestick prints are dominant. Technically, we may see a southward turnaround from the area.
On the H4 time frame, technicals show a bullish retracement of the bearish impulsive move that began on September 16. Presently, price action is at the 50 Fib retracement level; a significant bearish rejection of the 61.8 Fib level, which is around 1.18360, will potentially lead to a southward continuation. I am more bearish than bullish EURUSD but, being a swing trader, I will await a significant bearish rejection at an area of value on a daily closing basis.
I may be wrong. Trade safe and prosper.
Trap
GBPUSD Weekly Technical Outlook
Last week, GBPUSD market operation printed a bullish candlestick with an upper shadow at the 1.29690 area, which aligns with the 38.2 Fib retracement area of the downward move that began three weeks ago from the 1.34815 horizontal resistance area. The presence of an upper shadow on the bullish candlestick printed last week indicates bearish pressure. Should there be a bearish follow-through in the early part of this week, we may see bears target the 1.27230 area.
GBPUSD price action is operating within a rising channel (blue) on the daily time frame. After a retracement of the strong bearish move that began on September 2, 2020, price action is presently at the 1.29690 horizontal resistance area and about 97 pips above the channel support trendline. The area has seen sideways of price action since last week Thursday. Technically, market impulse favours bears and we may see a bearish turnaround. The 1.27230 area is the immediate horizontal support.
A bearish flag formation (magenta) is apparent on the GBPUSD H4 time frame. Technically, this portends a bearish continuation.
I may be wrong. Trade safe and prosper.
Trap
XAUUSD Weekly Technical Outlook
The XAUUSD market has been bullish for quite a while. But on the monthly time frame, a bearish pressure which began in August continued in September. Presently, the 1981.30/1818.30 (magenta) is the prevailing zone of market structure and bears are operating towards the lower part of the zone.
On the weekly time frame, last week, market operation broke down an inner rising trendline (blue) traceable to March but an outer trendline (red) traceable to May 2019 is still intact. The bearish candlestick print of last week was relatively big and broke below a master candlestick formed seven weeks ago; the master candlestick had influenced a sideways of candlestick prints for six weeks. A break below it is indicative of an increased bearish pressure. The 1818.30 area is the immediate horizontal support on the weekly time frame.
On the daily time frame, after the bearish continuation move on Wednesday last week, price action is presently sideways around the 1863.65 minor horizontal support area. Technicals still favour bears and a break below the 1863.65 area may see bears expose the significant 1818.30 horizontal support area.
I may be wrong. Trade safe and prosper.
Trap
AUDUSD Weekly Technical Outlook
The AUDUSD market operation is disposed southward on the monthly time frame. The 0.73790/0.68830 zone (magenta) is the prevailing operating zone; the 0.73790 area being the horizontal resistance while the 0.68830 area is the horizontal support. Presently, market operation is about 140 pips above the horizontal support area.
On the weekly time frame, last week, market operation broke below the bullish candlestick printed five weeks ago, which had been operating as a master candlestick for a sideways operation for three weeks. This indicates a strong bearish pressure. Presently, market operation is located at the 0.70260 horizontal support area.
The technical market structure and order flow context on the daily time frame support bears more than bulls. But the 0.72170 previous horizontal support may need to be retested for a bearish rejection set-up on, say, the daily time frame, before we can have confidence in a southward continuation.
On the H4 time frame, price action has broken down a rising channel (blue) and disposed southward. It is presently in a sideways mode at the 0.70260 area. Technically, we may see a pullback to an area of value, such as the 0.71060/0.71560 zone (sandybrown), which aligns with the 38.2/50 Fib zone of the downward swing from the rising channel.
I may be wrong. Trade safe and prosper.
Trap
EURUSD Weekly Technical Outlook
EURUSD market operation on the monthly time frame is disposed southward from the 1.19550 horizontal resistance area (magenta). The interim monthly candlestick print is located about 120 pips of the 1.14950 horizontal support area (light green).
On the weekly time frame, after several weeks of consolidation and formation of a topping pattern, last week, market operation printed a relatively big bearish candlestick that broke down the area of consolidation and dipped below the low of the relatively big bullish candlestick printed nine weeks ago. This, technically, indicates a strong bearish pressure and we may see bears exert further pressure this week.
Price action on the daily time frame has broken below the 1.17220 area (black), which is the lower boundary of the consolidation pattern that began on July 29. This technically signposts bearish intention for a southward continuation. But presently there is limited bearish momentum as price action became sideways after the breakdown of the area. Technicals still favour bears more than bulls but will likely require a northward pullback to an area of value, say the 1.177220 area, and a role flip before we can see a sustainable bearish drive. The 1.14950 area (light green) is, technically, the next horizontal support.
On the H4 time frame, recent price action has done a series of pullbacks, but, presently, price action is sideways. Given the longer-term technical outlook and the order flow context, any northward move is likely to be temporary in nature. I am more bearish than bullish EURUSD, but as a swing trader I will await a pullback to an area of value or what price action does in the early part of this week.
I may be wrong. Trade safe and prosper.
Trap
GBPUSD Weekly Technical Outlook
The GBUSD market has been in consolidation for quite a while. The 1.33880/1.22860 zone (magenta) has been the major channel for market operation for a several months. Presently, market operation is disposed southward within the zone, and it is near a horizontal support around 1.26440 (sandybrown). However, looking left, the shadows on the lower part of some of the candlesticks in the area may be a magnet of further bearish move.
After a relatively strong bearish drive rejected the horizontal resistance around 1.33880 three weeks ago, market operation turned sideways. But it printed a bearish continuation candlestick last week and the technical structure suggests further southward move to, perhaps, somewhere around the next consolidation area, the 1.25400 area.
On the daily time frame, price action is disposed southward within a falling channel (blue). Presently it is in consolidation but the technical structure favours bears.
I may be wrong. Trade safe and prosper.
Trap
XAUUSD Weekly Technical Outlook
XAUUSD market is witnessing an increase in bearish pressure. On the monthly time frame, the 1978.10/1815.40 zone (magenta) represents a wide range for market operation. Last month, market operation printed a bearish continuation candlestick in the zone
On the weekly time frame, a bearish impulsive move began eight weeks ago. A brief northward pullback followed, which gave way to sideways operation for three weeks in the 1962.75/1901.35 area (black). The area was broken down with the bearish move of two weeks ago. Last week, bulls effected a northward pullback that led to the printing of a bullish candlestick whose upper shadow pierced the lower boundary of the 1962.75/1901.35 area. Technically, any bearish reaction this week is likely to lead to a southward continuation of the bearish impulsive move that began eight weeks ago. Alternatively, a further bullish move may restore the sideways of market operation.
On the daily time frame, technically, a rising trendline (red) traceable to March is still intact and recent price action is respecting it. However, a falling channel (blue) has emerged from the price action since August. Presently, price action is disposed northward within it and at the channel resistance trendline where an indecision candlestick was printed last week Friday. A significant bullish breakout of the channel on a daily closing basis, with a retest of channel resistance for a role flip, may lead to the restoration of the bullish market structure seen on the monthly time frame. But a significant bearish breakdown of the rising trendline (red) on a daily closing basis, with a retest of the trendline for a role flip, may lead to a southward turnaround.
I may be wrong. Trade safe and prosper.
Trap
USDJPY Weekly Technical Outlook
USDJPY market operation on the monthly time frame is within a falling wedge (red). Presently it is in a consolidation at the wedge support trendline where the sideways of market operation has be maintained since August.
On the weekly time frame, a falling channel (blue) can be seen within which recent market operation is taking place and it has jutted out from the lower area of the falling wedge (red) seen on the monthly time frame. This indicates an increase in bearish influence in the market.
On the daily time frame, an ‘M’ pattern appeared to have formed between July 31 and September 18. A retest of its neckline seemed to have taken place with the northward pullback that started on September 19 culminating in a sideways of price action since September 24. Presently, price action is in consolidation at the support trendline of the falling wedge (red) seen on the monthly time frame. This, technically, would result in a southward turnaround.
I may be wrong. Trade safe and prosper.
Trap
GBPUSD Weekly Technical Outlook
On the monthly time frame, GBPUSD market operation is consolidating within a falling wedge (red). In August, market operation printed a bullish candlestick that peaked around the 1.34000 area, which is about 250 pips below the wedge resistance trendline, and from which a bearish engulfing candlestick was printed in September. The 1.34000/1.23000 zone (black) is the main zone for market operation on the monthly time frame. The 1.26700 area is the immediate horizontal support.
On the weekly time frame, the 1.26700 area (light green) has acted as horizontal support for quite a while. Presently, market operation is consolidating about 70 pips above it. Last week, a bullish candlestick was printed in opposition to the bearish print of similar size printed a week earlier. However, the relatively big bearish print of four weeks ago demonstrated the strong influence of bears in the market. A bearish breakdown of 1.26700 area (light green) would result in a southward drive. The 1.30420 area (magenta) is the immediate horizontal resistance.
On the daily time frame, price action has broken down the 1.30420 previous horizontal support (magenta) and it is presently retesting it for a possible role flip. This would result in a southward turnaround for a bearish continuation.
I may be wrong. Trade safe and prosper.
Trap
EURUSD Weekly Technical Outlook
The 1.19000 area (magenta) has served as horizontal resistance for EURUSD market operation for quite a while. On the monthly time frame, a relatively bullish candlestick printed in July peaked in the area, since then the candlestick prints have been sideways in the area. The September print was bearish and broke below the bullish August print. This indicates an increase in bearish pressure. We should also note that market operation on the monthly time frame is within a falling channel (red) and presently it is at the channel resistance trendline where a bearish print was produced in September.
Recent market operation on the weekly time frame produced an ‘M’ pattern below the 1.19000 horizontal resistance area (magenta) seen on the monthly time frame. Last week, a bullish candlestick was printed in retracement but was only able to retest the broken down previous 1.17500 horizontal support (black), which may result in a role flip for a southward continuation.
On the daily time frame, topping patterns can be seen below the 1.1900 horizontal resistance area (magenta) seen on the monthly time frame. Besides, price action is in consolidation below the 1.17500 previous horizontal support (black) seen on the weekly time frame and, technically, susceptible for a role flip upon a breakdown of the consolidation area. A significant breakdown of the inner trendline (blue) traceable to May on a daily closing basis is likely foster a bearish drive. The outer trendline (purple) may serve as support in the longer term. I am more bearish EURUSD than bullish.
I may be wrong. Trade safe and prosper.
Trap
EURUSD Weekly Technical Outlook
The EURUSD market is still disposed northward. On the monthly time frame, the 1.17000/1.19600 zone (magenta) is the prevailing area for market operation. There has been sideways of market operation in the zone since August.
The most recent upward swing on the weekly time frame saw a 50 Fib retracement three weeks ago. The candlestick prints in the last two weeks restored a positive tone. However, there is a decline in bullish momentum as market operation is struggling to breach the 1.19600 horizontal resistance.
On the daily time frame, a topping pattern has been created in the 1.17000/1.19600 zone (magenta). Price action briefly broke below the zone on September 23, but bulls restored the positive disposition four days later. However, a sideways of price action mitigated the bullish intent for the next three days before another day of bullish press. The sideways that followed this bullish press gave way to another northward move on Friday last week, but the 1.18600 area, from which bears effected a southward move on September 21, is holding as resistance. Based on recent technical behaviour, we may not see much bullish momentum on the EURUSD market until, perhaps, price action significantly break out of the 1.19600 horizontal resistance area.
I may be wrong. Trade safe and prosper.
Trap
AUDUSD Weekly Technical Outlook
The AUDUSD market is still disposed positively. On the monthly time frame, the 0.70500/0.74130 zone (magenta) is the prevailing operating area. The zone has seen a sideways of market operation since August, but the interim October print is disposed positively.
On the weekly time frame, the last two weeks have seen bulls effecting a positive northward move, but they are yet to break above the high of the relatively big bearish candlestick printed three weeks ago. The 0.72900 area is the prevailing horizontal resistance and, presently, market operation is about 45 pips below it.
On the daily time frame, price action is disposed positively. Technically, a ‘W’ pattern is being played out beginning with the downward swing of September 21, and we may see its completion with an outer leg for a bullish continuation. Thereafter, we will likely see a southward turnaround.
I may be wrong. Trade safe and prosper.
Trap
GBPUSD Weekly Technical Outlook
GBPUSD market operation on the monthly time frame produced a bearish engulfing candlestick in September. Technically, the 1.28000 (light green) is the prevailing horizontal support and, presently, market operation is located about 200 pips above it.
On the weekly time frame, last week, market operation printed a bullish candlestick that broke out of a sideways headlined by the 1.29250 area. The 1.31700 area (magenta) is the next horizontal resistance.
On the daily time frame, price action has made a 38.2 Fib retracement of the downward swing that began on September 1. The 1.31700 area (magenta) is the immediate horizontal resistance and is aligned with the 61.8 Fib level. Technically, the area is susceptible to a bearish turnaround.
I may be wrong. Trade safe and prosper.
Trap
USDCAD Weekly Technical Outlook
The 1.33760/1.29500 zone (magenta) is the prevailing area for USDCAD market operation. On the monthly time frame, sideways operation has been maintained in the area since August. The interim October market print is southwards within the zone.
On the weekly time frame, the most recent downward swing of USDCAD market operation had a 61.8 Fib retracement three weeks ago. The last two weeks have seen bears effected a southward turnaround. The 1.29500 area is the immediate horizontal support.
On the daily time frame, on September 18, price action broke a falling trendline (blue) traceable to March. It is presently heading southwards and an outer falling trendline (red) is being respected by price action. I am more bearish USDCAD than bullish.
I may be wrong. Trade safe and prosper.
Trap
AUDUSD Weekly Technical Outlook
The AUDUSD market operation is technically within the 0.72330/0.70200 zone (magenta) on the weekly time frame. Two weeks ago, bulls took market operation toward the upper boundary of the zone. Last week bears effected a southward move from the 0.72330 area and breached the low of the bullish print of two weeks ago. However, the bearish print of last week failed to reach the 0.70200 lower boundary. Technically, the outer leg of a potential ‘M’ pattern is being created. Should that be the case, we may see further bearish move this week.
Recent price action on the daily time frame has formed a symmetrical triangle (blue). Presently, price action is at the triangle support trendline where a miniature bearish candlestick was printed on Friday. The lower shadow on the bearish candlestick print of last week Thursday is indicative of a decline in bearish momentum. The miniature bearish print of Friday was an inside bar, which further suggested a slowing down of bearish momentum. Nevertheless, as price action is presently located The location is just 64 pips from the lower boundary of the prevailing operation zone identified on the weekly time frame we cannot rule out a brief bearish move in the early part of this week, at least to retest the 0.70200 horizontal support area.
I may be wrong. Trade safe and prosper.
Trap
EURUSD Weekly Technical Outlook
On the monthly time frame, the EURUSD market operation is above a falling trendline (blue) with the 1.16780 area (magenta) the prevailing horizontal support. Since August, market operation has been sideways above the area and the interim candlestick print in October is ambivalent. It is apparent that the 1.16780 is a previous (broken) horizontal support area.
Recent market operation on the weekly time frame has been predominantly sideways. But a relatively big bearish candlestick printed four weeks ago is operating as a controlling or master candlestick; carving out the 1.18410/1.16040 zone (sandybrown) as the prevailing operating zone. Technically, the market operation on the weekly time frame is presently under a bearish pressure.
Topping patterns have prevailed on the daily time frame for several days since mid-August. The 1.17240 area (purple), which was a previous horizontal support was broken down on September 22 but there was no bearish follow-through. So, bulls effected a pullback that later resulted in a retest of the 1.18410 horizontal resistance seen on the weekly time frame before a southward mode. Presently, there is a sideways of price action in the 1.17240 area (purple). We should await how price action handles the area in the early part of this week.
On the H4 time frame, on October 13, price action broke down a rising channel (blue) within which it has been operating since late September. The order flow context and immediate preceding impulsive technical pattern on the H4 time frame favour bears.
I may be wrong. Trade safe and prosper.
Trap
