Hey everyone! Welcome to this week's forex forecast for the week ending July 23rd, 2021. I'm TraderBart with A1 Trading, and this week I'll be looking at GBPUSD, USDCAD, EURCHF & XAUUSD.
Price seems to be failing to break this mid-term horizontal level at 1.1375, which has previously been switching from support and resistance. Recently we had a break of this structure and trend as price broke out of the long-term ascending channel, which has been holding since the initial covid drop in March last year. Looking for price to make its next lower low, we could likely see price form a new trend of a descending channel. Read my full G/U deep dive here.
USD strength continuing to push this market higher, further away from the descending channel it has recently broken out of. If price makes a clear break above the 1.258 level and shows strong rejection following the retest, we could likely see this market head higher to previous key horizontal levels such as 1.293. If we fail to see this happen, we may see some consolidation around this zone for a while, waiting for a news spike to occur. Read my full U/C deep dive here.
Price has gone underneath the previous resistance level from the ascending triangle pattern back in early 2021. We did recently see price make the next touch of the descending channel in the bullish flag pattern; we could likely see price continue the trend and head towards the channel's top next. Look out for a break above the resistance level; once this happens, we could see this move happen. If price continues to struggle below this level, we could see it consolidate for a while until a notable news event spikes the next move.
Gold once again broke out of the long-term descending channel pattern and headed towards the liquidity void around 1880. Look out for price to form short term horizontal levels and showing rejection off these levels where we could see strong bullish moves. Long-term, I'm expecting price to break previous all-time highs; however, for now we're waiting on move order blocks to form where traders are mostly one-directional for major institutions to take advantage of this.
The dollar flew higher last week as a result of resilient economic news along with a higher PCE than expected. Now the DXY has reached a decision point in price action. This week's NFP will help determine the sentiment around the potential June rate hike. Here is what we are looking at: EdgeFinder Analysis USDCAD […]
Considerably dovish news from central banks in the US and New Zealand has caused a major stir in the markets. Governor Orr and Vice Chairman Powell both released some reassuring news for the economy in the long term. But what does this mean for USD and NZD? EdgeFinder Analysis GBPNZD is a pair that should […]
As we trade into a broad news week covering the economic status of multiple countries, there are several scenarios we should consider. Although it is impossible to predict the future, we can at least prepare for the news events set to come this week for kiwi, dollar and the pound. EdgeFinder Analysis GBPJPY still maintains […]
