Weekly Forex Forecast for GBPCAD, GBPJPY, NZDCAD, XAUUSD (14-19 March 2021)
Hey everyone! Welcome to this week's forex forecast for the week ending March 19th, 2021. I'm TraderBart with A1 Trading, and this week I'll be looking at GBPCAD, GBPJPY, NZDCAD & XAUUSD.
Price has now broken through the LV at 1.745 and the major EQL at 1.742, which has been constantly respected as either s/r since January and is now also at the 100% mark at the bullish OB formed on the Daily timeframe, which is also the bottom of this ascending channel which price has been respecting since September 2020. Going forward, I think we could either see price reject and reverse off this channel's bottom now, or price could also break through this OB and continue going lower, to stop out retailers before reversing and continuing the channel's move.
Price is now in the middle of this liquidity zone, where I expect many retailers to begin closing their short positions, which they took out at the channel's top last week. I still expect a huge candle to be formed, which will take out the majority of traders quickly which could likely be up to 153.8. Once we see this liquidity raid happen, retailers will likely change their bias and go long, then price will reverse and continue in the original direction towards the downside and head towards the channel's bottom, and once again making retailers lose.
Price has been in this long-term ascending channel since May 2020, consistently making new highs. Price is currently nearing the channel's bottom and an EQH at 1.89, which was seen as a triple top back in October 2020 where most traders likely went short, but of course got stopped out. Price is now coming back to this level, and I believe most retailers will go long at this level for a channel continuation move; however, I expect price to break lower, just outside the channel when there is enough liquidity for banks to raid, before of course reversing and continuing the long-term channel move to the upside.
Price has now reached the bottom of this descending channel at 1675, which is also the same level between February and June 2020 that was seen as clear resistance, then support, and now again seen as clear support. This is also the same level as the 62.0% Fib retracement when placed at the bottom of the flagpole. Going forward on what's next for Gold, I expect price to head towards the next resistance at 1765, the 50% Fib retracement level, and previously seen as clear support and resistance. Once we see a clear break of this level, we could expect price to continue pushing to the upside.
Bitcoin has been vastly oversold due to the fact of regulation concerns from the US government wanting to make a more controlled market just like stocks. For over 2 months, the crypto has fallen nearly 42% from the highs in November, but it looks like it has found a bottom in the $39Ks. Why Bitcoin […]
CPI numbers came in yesterday indicating a 7% climb in inflation from last month. This is some bad news for the Fed, USD, and stock market which could lead to a short term bearish trend until the Fed raises rates. This report should be bullish for the USD in the longer term since investors can […]
Trend trading is perhaps one of the most commonly used strategies in the forex world. In this article we will be sharing tips on how to determine the end of one forex trend and the potential start of a new one. We will share 3 specific clues that you should be looking for when trend […]
DISCLAIMER: All comments made by TraderNick’s Forex Group, LLC are for educational and informational purposes only. All comments should not be construed as investment advice regarding the purchase or sale of any securities or financial instrument of any kind. Please consult with your financial adviser before making an investment decision regarding any securities or financial instruments mentioned by TraderNick’s Forex Group, LLC. TraderNick’s Forex Group, LLC assumes no responsibility for your trading and investment results. All information on any of the platforms utilized by TraderNick’s Forex Group, LLC was obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. TraderNick’s Forex Group, LLC, its employees, representatives, and affiliated individuals may have a position or effect transactions in the securities and financial instruments herein and or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies. Trading of any type involves very high risk and may not be suitable for all investors. TraderNick’s Forex Group, LLC, its subsidiaries and all affiliated individuals assume no responsibility for your trading and investment result. Read our full disclaimer here
A1 Trading Company
A1 Trading Company is a financial services and media business founded in Atlanta, USA.