Forex Weekly Forecast & FX Analysis June 22 - 26
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EUR/USD
After a significant stage of upward trend for the euro against the dollar, there is a stage of downward correction. All indicators are looking down, while the histogram is at its lowest values for more than 1.5 months. The current stage of the market allows drawing a trend line down, while the price still has a potential for falling. The key mark will be the level of 1.1171. We expect the price to reach this level, and then it is most likely to move up to the level of 1.1279. If from the specified level the market will be able to consolidate lower, it will be possible to trade down to the level of 1.1115.
GBP/USD
The divergence, which we talked about in the previous week's review, was worked out for this currency pair, and as a result, the market became much cheaper. The downward movement is characterized by the fact that the price has fallen below the trend line, while the downward correction movement allows drawing an additional downward trend line. We also note that the price is stuck at the level of 1.2405, as well as the fact that this level is almost the same as the level of moving averages. Histogram is on the minimum values, the oscillator has only tested the oversold area. Taken together, all these factors make it possible to consider trading options to rise from the level of 1.2405.
USD/JPY
The dollar against the Japanese yen went back to the side correction stage with a significant decrease in volatility. For the current stage of the market we can distinguish a sideways corridor with the borders of 106.710 and 107.492. Both levels are significant and demonstrate their impact for this currency pair on the continuation of a long time interval. Indicators are looking up, and the price is close to the lower level of the channel. Therefore, considering the variants of trade to rise to the upper line.
AUD/USD
This currency pair is one of the most difficult to predict, because it is characterized by a long-term impact of the global uptrend. If we consider the last uptrend line, it was broken last week, as a result of which the price fell below the trend line and below a number of important levels. Despite the fact that the indicators are looking up, pointing to the possibility of growth, we can consider options for downtrend trading to the level of 0.6870.
USD/CAD
After breaking the downtrend, the price continued its growth, slowing down around 1.3590. The market cannot make a significant movement neither up nor down from this level. In fact, we are talking about the stage of correction and reduction of volatility. Despite the fact that the price movement takes place within the sideways corridor, all indicators are looking down. This will be the main signal for the coming week. We consider trading options to go down to the target level of 1.3450.
USD/CHF
The dollar vs. the Swiss franc completed the downward stage before the correction, which is currently characterized by a side corridor with the borders of 0.9480 and 0.9545. The histogram is above zero, but it is interesting only from the point of view of the fact that for the first time in more than 3 months the histogram has grown seriously. Much more valuable information is given by the oscillator, which is close to neutral values. This confirms the fact that the price is in a deplorable state. Therefore, as long as the market is within the specified corridor it is impossible to trade. In the future, it will be possible to trade in the direction of the exit.
USD/RUB
For the dollar against the Russian ruble, the market continues to develop in a situation of uncertainty and lateral correction. It can be stated once again that after reaching the level of 68.16 the market has slightly increased and frozen. It should be noted that the price is still in the area below the moving average, while indicators are looking down. Theoretically, this allows to consider options for downward trade, however, the reality is that the price has moved far up from the level, so it is dangerous to trade now. The only trading signal is the level of 70.00. If the price rises above this level and above the level of moving averages, then it will be possible to trade up.
Gold
In another weekly review we can say that the key level for gold is 1734.521. Last weeks the market has been developing only close to the level indicated. If you consider the last few weeks, the price is mostly below this line, and at its points you can draw an uptrend line. This line together with the level of 1734,521 allows forming a "triangle". The triangle is confirmed by indicators, each of which is close to neutral values and does not show any trends. Therefore, as long as the price is inside the triangle - we do not trade. In the future, in which direction the market will break through the triangle, it will be possible to trade.
