I plan my trading for the week ahead each weekend. Here are the Forex trading opportunities I will be stalking this week.
Note that this is my current view, but if market conditions change my view can change too. Generally I will trade in alignment with what I have noted here, though I will wait for a set-up before I enter. I base my view on technical and fundamental information. This is my beliefs and you are welcome to have opposite ones. Having a plan is more important than the actual direction for me.
- Waiting GBP/USD. – MT is a bull normal. While the market type is bullish the technical pattern is suggestive of a fall with a almost railroad track reversal pattern on the weekly chart after breaching resistance. Watch the price action and response to news carefully this week.
- Long USD/JPY. Breakout – MT is sideways normal. We have had the breakout we were stalking on tuesday. Significantly the price has closed above the upper Bollinger band on the weekly chart, which is a good sign.
- Short AUD/USD Reversal– MT is bull volatile. This is a transitional market type and we will be looking for it to turn into a fast bear next week. Note the consecutive bearish 3 candle reversal pattern off resistance. A messy double top but a bearish sign never the less. On the weekly chart we have a key reversal week. Prefer shorts.
- Short EUR/USD. Reversal – MT is bull volatile. Similar to the AUD. Double top in place and key reversal week suggestive that it could be time to go short.
- Short NZD/USD. Trend– MT is bear normal. Continue short.
- Long USD/CHF. Reversal – MT is bear volatile. Imperfect double bottom and key reversal week. Fundamentally have conviction in this trade.
- Waiting EUR/CHF. – MT is sideways normal. Very tight range forming. Wait for now.
- Long USD/CAD. Trend – MT is bull normal. We had a 3 bar reversal pattern off support ( a triple bottom actually) form last Monday giving us a buy opportunity. There has been follow though with the market type turning bullish and a key reversal week here too. Decent long here IMHO.
- Waiting EUR/GBP. – MT is sideways volatile. EUR was crushed last week, but the longer term market type remains volatile. Watch carefully.
- Long AUD/JPY. Trend –MT is bull normal. Bull normal still in play – just. Buy but with low conviction.
- Short NZD/JPY. Trend – MT is bear normal. Look to sell. I suspect we may see the market type turn sideways here.
- Long GBP/JPY. Trend – MT is bull normal. Be super wary of a reversal here… bearish engulfing off a multi-year high and weekly support level. If you are long I don’t suggest closing the whole trade but it might be wise to take profit and tighten the stop on part of it. Keep some as if the yen breaks out against the USD this pair could have a long way to go.
- Short EUR/JPY. Trend – MT is sideways normal. But weekly bearish engulfing off resistance means sell.
- Short GBP/NZD. Trend – MT is bull normal ( possibly volatile). I have been waiting for the short-term double top and reversal pattern here as a selling opportunity. Nice technical pattern here.
- Short EUR/NZD. Trend– MT is bull normal turning sideways. No great technical pattern here, but I get the sense this is a sell… EUR coming off, NZD showing signs of bottoming… still have the rates differential and noise by the ECB about more easing. More gut feel this trade – will find out if my gut is working!
- Short AUD/NZD. Reversal– MT is bull volatile. Price has sold off the resistance mentioned last week.
- Waiting EUR/AUD. – MT is sideways normal. Wait.
- Waiting GBP/AUD. – MT is sideways normal. Wait.
- Waiting AUD/CAD. – MT is sideways normal. Wait.
- Long GBP/CAD. Trend – MT is bull normal. Look to buy.
- Short EURCAD Reversal -MT is bear volatile. Resistance held giving us another sell signal and there has been some follow through. Look short.
Analysis to read:
Economic calendar for the week ahead:
(MT = Market Type: Click for more information on market types.)
(MT = Market Type: Click for more information on market types.)
Trend: Market is trending in the direction I have listed and I expect it to continue.
Reversal: I am looking for a reversal against the current trend.
Breakout: The currency pair is breaking out of a range.
About the Author
Sam Eder is a currency trader and author of the Definitive Guide to Developing a Winning Forex Trading System and the Advanced Forex Course for Smart Traders. He is a part owner of Forex Signal Provider fxrenew.com (You can get a free trial). If you like Sam’s writing you can subscribe to his newsletter for free.
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