The pair succeeded in consolidating above the 61.8%correction at 1.2990 stable within the ascending channel shown below. Momentum indicators provided negative signals that might push the pair to the downside to retest this level, yet in general we expect a bullish move for this week targeting areas at 1.3260 then 1.3400 which requires steady daily closing above 1.2990.
The trading range for this week is expected between the support at 1.2840 and the resistance at 1.3400..The short term trend is to the downside as far as areas of 1.3770 remain intact targeting 1.1700.
GBPUSDThe pair confirmed the breach for the neckline of the bullish pattern shown below which turned into support at 1.5465. The pair is attempting to confirm the breach of the critical resistance over short and medium term basis at 1.5695 –neckline for a previous bearish pattern-; still strong negative momentum signals might push the pair lower in correction to retest 1.5465. The mixed signals make us observe the pair for further confirmations.
The trading range for this week is expected between the support at 1.5465 and the resistance at 1.6070.
The short term trend is to the downside as far as areas of 1.5855 remain intact targeting 1.3800.
USDJPYThe pair stabilized below the main resistance for the medium term at 87.65, while momentum indicators provided some positive signals that might cause fluctuations this week towards the mentioned resistance before resuming the downside move for this week targeting areas from 84.70 and requires steady daily closing below 87.65.
trading range for this week is expected between the support at 84.70 and the resistance at 87.65..The short term trend is to the downside as far as areas of 101.65 remain intact targeting 82.60.
The pair is attacking the support for the current sideways range at 1.0395 in an attempt to confirm the end of the previous bullish medium term wave, supported by negative momentum on Stochastic. We expect a downside move this week activated with the breach of 1.0395 as far as the pair is stabile below 1.0560, where targets are at 1.0130 then 1.0000.
The trading range for this week is expected between the support at 1.0000 and the resistance at 1.0560.
The short term trend is to the upside as far as areas of 1.0200 remain intact targeting 1.2295.
USDCADThe pair started serious attempts at breaching the neckline for the negative pattern shown in our previous report at 1.0275; where momentum indicators are providing more negative signals alongside stabilizing below 50 Days MA. Therefore, we expect a downside move this week targeting initially 1.0135 which is the basis for the short term direction, as breaching it extends the downside move.
The trading range for this week is expected between the support at 1.0000 and the resistance at 1.0470..The short term trend is to the upside as far as areas of 0.9925 remain intact targeting 1.1485.
By: Yasir Mubarak
Senior Technical Analyst