Get 40% Off
to Daily Price Action.
Ends December 31!
In this weekly Forex forecast, I’m going to show you exactly how I’m trading EURUSD, GBPUSD, USDJPY, AUDJPY, and AUDCAD through November 29, 2019.
Watch the video below, and be sure to scroll down for more commentary and annotated charts.
EURUSD sold off from a familiar area last week.
I’ve pointed out the 1.1070 region for several weeks now.
You can see how it has served as a pivot for the euro since late July.
We’ve also looked at the support region between 1.0990 and 1.1020. This is where the EURUSD bounced earlier this month.
Get Instant Access to the Same "New York Close" Forex Charts Used by Justin Bennett!
Friday’s selloff leads me to believe that a retest of 1.0990 is likely.
If we see EURUSD close below the confluence of support near 1.0990, it would expose lower levels including the year-to-date lows.
Alternatively, any bullish price action from 1.0990 could trigger another move higher into 1.1070 resistance.
GBPUSD remains in consolidation between 1.2770 and 1.2980.
We’ve been discussing this range for several weeks now.
Notice how the 1.2980 region attracted sellers once again last week.
Buyers must hold the 1.2770 area this week if they intend to push GBPUSD higher from current levels.
A daily close below 1.2770 would expose the next key support at 1.2570.
Alternatively, a close above 1.2980 would target 1.3170.
The USDJPY remained indecisive last week following the November 14 close below wedge support.
So far, sellers have yet to follow through on that breakdown.
At the same time, the USDJPY is still capped below the 109.00 resistance handle.
We’ll see if sellers can push the pair lower this week, but until we see the price move out of this consolidation, it’s going to be a tough market to trade.
The AUDJPY may be gearing up for a move lower.
Notice how the pair has carved what could be a rising wedge over the last few months.
But it isn’t the most well-defined pattern I’ve seen.
So while it could trigger a move lower, I’m going to need to see the AUDJPY respect the level as new resistance following a break.
As long as the pair is above support, though, the area will continue to attract buyers.
I wrote about a possible AUDCAD bullish pattern last week.
The inverse head and shoulders isn’t the cleanest formation I’ve seen, but it does still qualify as one for now.
However, there’s always the possibility that buyers never quite get behind this pair.
With that in mind, it’s important to respect both the bullish and bearish scenarios.
The bullish scenario could develop with a close above trend line resistance near the 0.9100 area.
On the other hand, a daily close below support near 0.9000 would likely send the AUDCAD lower.