So what’s going on this week of 4/23? Well let’s take a look at some different currency pairs.
One of my favorite blogs out there is Casey Stubbs’ http://www.winnersedgetrading.com. Here is a post from his that tells us what to look for in the AUD/USD pair.
Friday’s close saw the Audusd currency pair holding firmly above 1.0200 support. The week ahead appears to be setting up for a bullish run to retest 1.0550-1.0600, and eventually, perhaps to re-attain 1.0800 highs, if those levels give way. The weekly chart below illustrates the horizontal support line drawn across previous highs at 1.0200. This is the level that, if breached, will give the appearance of a left shoulder formation to equal a right shoulder at the same level, if retested. However, the recent price action is suggesting that this scenario is not likely to play out within the next few days.
The 4-hour chart shows a triangle holding above 1.0330 following a test of 1.0200 support. It is also worth noting that the pivotal 1.3030 level converges exactly with the .618% fibonnacci retracement level. This leads me to believe that a potentially strong breakout is in the works, and will be confirmed once the top of the triangle is cleared at 1.0450. I have bought the pair with targets at 1.0515 (daily trendline), and 1.0710, 1.1618 fibonnacci extension of the 1.0220-1.0450 up-swing. Only a clear breach of 1.0200 will change this general bullish outlook, in my opinion.
Source: Winner’s Edge Trading
As for the EUR/USD I found a good outlook on Forexcrunch.com. See this here.
Euro/dollar eventually climbed in the wide range, as positive German data and US weakness countered worries about Spain. The upcoming week will provide a forward looking view of the economy via the PMIs and a test of the debt crisis with an Italian bond auction among other events. Here is an outlook for the upcoming events and an updated technical analysis for EUR/USD.
German surveys have been upbeat, while Spain and Italy continue struggling in finding a path for growth while lowering the debt. Will the north pull the south forward, or will the south drag the north down? In the US, A second week in a row of high jobless claims cast serious worries that the slowdown isn’t so temporary. We will see what policymakers think about it.
Updates: EUR/USD gaps lower at the open as the first round of French presidential elections leaves a lot of room for uncertainty. Socialist challenger Francois Holland did quite well, and he has called for a renegotiation of the Euro-zone fiscal agreement, in order to encourage growth. Monday morning started with a host of releases today out of the Euro-zone, France and Germany, with many falling below the market forecast. French Flash Manufacturing PMI came in at 47.3, exactly as predicted. However, both the German and Euro-zone Flash Manufacturing PMI were below the market prediction. Euro-zone Flash Services PMI posted a reading of 47.9, slightly below the market forecast. German Flash Services PMI came in at 52.6 almost matching the market forecast. French Flash Services PMI was the biggest disappointment, as it dropped to a six-month low. The index came in at 46.4, well below the market forecast of 50.3. EUR/USD continues to slide, trading at 1.3137.
To see the complete forecast head over to Forexcrunch here.
Forexcrunch.com has some of the best weekly outlooks that you can find by just going here http://www.forexcrunch.com/category/forex-weekly-outlook/.
What are your favorite sources for weekly Forex outlooks? Let us know in your comments below.
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