FOREX TRADERS

[bratby]

Major Forex Pairs Outlook


Forex Weekly Outlook and the U.S. Dollar
The U.S. Dollar Index is the backbone of forex trading. The bulk of the trades involves buying or selling the U.S. dollar. Understanding the movements of the individual market will greatly benefit forex traders as they will be able to better predict the movements of the pairs based on the IDX market movement.

Key levels and market movements:
After the Fed meeting, the US Dollar is quite mixed. Traders should again pay attention to the institutional flows as discussed in previous weeks. That weakness typically comes into play around the 15th of every month. The dollar continues to remain in a very tight channel between the 96.20 and the 96.50. Traders should look for a break from this channel for the next move.

What do the indicators say?
The VantagePoint predictive 18-day moving average is at 96.925. The neural index is at a “one” position indicating short-term strength and the predictive short, medium and long-term differences are above the zero line. There is also a crossover to the upside with the predictive MACD, but this is still below zero. The VantagePoint PRSI is at 51.7. Last week, the PRSI did rise to 60, but dropped again. This could very well be a leading indicator that there is no momentum to the upside at this time.

Forex Weekly Outlook for Major Pairs
The major pairs are where most forex traders trade the market. In the Forex Weekly Outlook we take a look at the most popular pairs analyzing price action, news events and/or risk off scenarios that could play a role in market movement, and a series of VantagePoint charts that best present information that can assist traders in determining where the market may move in the week ahead.

Euro/U.S. Dollar (EUR/USD)
Key Levels and market movement:
This pair needs to clear the 1.13 level and it continues to fail week after week. The neural index within VantagePoint is back up to a “one” position indicating short-term strength in the markets. However, the predictive short, medium and long-term differences remain to the downside. There is a bullish tone to the pair, but it is very mild.

What do the indicators say?
The predictive 18-day moving average is 1.1173 and the PRSI is 49.7. The 1.1168 is a make-or-break area for this pair.

U.S. Dollar/Swiss Franc (USD/CHF)
Key Levels and market movement:
This pair mirrors the USD index and EUR/USD pair. When the EUR/USD goes up, the USD/CHF goes down. The pair is closing at .9731 just above the predictive 18-day moving average. The predictive differences are holding, but the PRSI fails to hold above that 60 mark, possibly indicating that institutional flows are influencing this pair as well.

What do the indicators say?
The PRSI is at a 52.8 and the predictive 18-day moving average is at .9729. The neural index is at a “one” position indicating the potential for short-term strength.

British Pound/U.S. Dollar (GBP/USD)
Key Levels and market movement:
It’s going to be a choppy week for the pair as the Brexit talks begin. This has the potential to cause wild swings for the pair. Traders should use caution. The pair continues to close below the predictive 18-day moving average. The demand area is sitting down at 1.27 and supply is being filled at 1.29. Traders need to have the PRSI come above 50 to consider buying this pair.

What do the indicators say?
The VantagePoint predictive 18-day moving average is at 1.2821 and the PRSI is at 44.3. The neural index is at a “one” position

U.S. Dollar/Japanese Yen (USD/JPY)
Key Levels and market movement:
This pair is also going to see a rough week. The USD/JPY did rise over the trend area, but it didn’t close above the trend. Traders should look for the pair to close above the 110 area. If it does this consistently, this will indicate to traders that a bigger move might be happening, probably back to the 114 area.

What do the indicators say?
The PRSI is showing a 60.4. The predictive 18-day moving average is at 110.357.

The Commodities Currencies
U.S. Dollar/Canadian Dollar (USD/CAD)
Key Levels and market movement:
Oil will continues to heavily influence the pair, and right now oil is getting pummeled. Traders should look for this pair to hold above 1.3220. The Bank of Canada will continue to influence the pair, but traders should not be swayed.

What do the indicators say?

The VantagePoint predictive 18-day moving average is 1.3399 and the PRSI is 20.3. The indicators are saying the pair is heavily oversold and the shorter-term indicators from VantagePoint are on the rise.

Australian Dollar/U.S. Dollar (AUD/USD) and New Zealand Dollar/U.S. Dollar (NZD/USD)
Key Levels and market movement:
The AUD/USD pair should be able to make a push towards the .7750.The predictive differences are currently pointing higher and the neural index is at a “one” position.

The NZD/USD was rising to a known swing high right around .7350. The pair is now holding right along the VantagePoint 8-day moving average at .7210.

What do the indicators say?
For the AUD/USD, the predictive 18-day moving average is .7519 and the PRSI is 83.3. The PRSI is showing some slight momentum, but the pair is moving towards overbought.

For the NZD/USD pair, the predictive 18-day moving average is .7144 and the PRSI is 74.

Watch the Video Analysis and Outlook HERE >>>>