GBPUSD continues its downward movement from 1.5997 and the fall extended to as low as 1.5296 level. Key resistance is now at 1.5488, as long as this level holds, downtrend is expected to continue and next target would be at 1.5200 area. However, a break above 1.5488 key resistance will indicate that the downtrend from 1.5997 has terminated, then the following upward move could bring price to 1.5600-1.5700 area.



Daily Forex Forecast

Bias: I expect to see 1.2830-42 cap for losses to 1.2738-51 but then a pullback before further losses can be seen

The ideal 1.2907 target was broken but not the 1.2921 corrective high and this morning has seen losses develop. I see the 1.2792-97 area supporting for a correction to the 1.2830-42 area from where we should see losses to the 1.2738-51 area. However, I suspect this will cause a pullback which should move back to the 1.2870 pivot resistance (max the 1.2892 corrective high) and from here we should see a second decline which should reach a new low... Only direct loss of 1.2725-35 would imply a more direct decline...

Only a move back above 1.2892- & 1.2921 would deepen the correction to 1.2936 and 1.2962-82. Only above there would threaten a stronger move higher.

Please view the complete analysis on: http://www.fx-forecaster.com/files/T...ecaster108.pdf

For a full description of how to use the analysis please see the Analysis page of my website. The prior day's set ups for potential trading levels highlighted in the report are available on the Daily Forecast page of my web site in the Trader Package review. (+15 pips)

GBPUSD remains in downtrend from 1.5997 and the fall extended to as low as 1.5326. Resistance is at 1.5597, as long as this level holds, downward move is expected to continue and next target would be at 1.5200 area. However, a break above 1.5597 will indicate that a cycle bottom has been formed on daily chart and the fall from 1.5997 has completed at 1.5326 already, then the following upward movement could bring price back to 1.5700-1.5800 area.

For long term analysis, GBPUSD is in uptrend from 1.4230. Rise to 1.8000 area to reach next cycle top on weekly chart is expected in next several weeks.



Weekly Forex Analysis

EURUSD remains in downtrend from 1.3333, and the bounce from 1.2587 is treated as consolidation of downtrend. Resistance is at the upper border of the falling price channel, as long as the channel resistance holds, downtrend is expected to continue and next target would be at 1.2500 area. However, a clear break above the channel resistance will indicate that a cycle bottom is being formed on 4-hour chart, then further rise towards 1.2921 key resistance could be seen.



Daily Forex Forecast

Bias: While 0.8910-20 caps I look for losses below 0.8874 to 0.8823-36 at least - potentially lower

Yesterday's pullback moved above 0.8917 to a higher retracement at 0.8981. From there we have seen losses and I feel the structure is now quite bearish and could indeed accelerate. We should now see any pullback remain below 0.8910-20 and see losses extend below 0.8874 to 0.8823-36 at least but I tend to prefer a more bearish scenario that would imply losses all the way down to 0.8762-84. From this point take care. I do see a lower (aggressive) target at 0.8723 but watch for bullish trade set ups anywhere below 0.8762...

Only an earlier reversal above 0.8910-20 would risk follow-through to 0.8945 and 0.8981 at least. If yesterday's high breaks then it raises risk of a stronger follow-through

Please view the complete analysis in the attached PDF file.

For a full description of how to use the analysis please see the Analysis page of my website. The prior day's set ups for potential trading levels highlighted in the report are available on the Daily Forecast page of my web site in the Trader Package review. (+40 pips)

Attached Files

The Brief Daily Forecaster.pdf (27.9 KB, 0 views)