Weekly Trading Prep: August 15 – 19, 2016

Another forex trading week, another chance to get some pips! Here are the chart levels and major potential movers that I’m looking at for the next couple of days.

Weekly Inflection Points to Watch

EUR/USD

GBP/USD

USD/JPY

USD/CHF

Open Price 1.1169 1.2920 101.16 0.9743
Last Week’s High 1.1222 1.3098 102.68 0.9844
Last Week’s Low 1.1070 1.2909 100.84 0.9708
Top Weekly ATR 1.1264 1.3109 102.61 0.9827
Bottom Weekly ATR 1.1075 1.2731 99.71 0.9660

1-Hour Charts of the Majors

Purple Line: weekly open prices
Blue Line: weekly highs and lows
Red Line: top and bottom weekly ATRs
Blue MA: 100 SMA
Red MA: 200 SMA

EUR/USD 1-hour Forex Chart

EUR/USD 1-hour Forex Chart


GBP/USD 1-hour Forex Chart

GBP/USD 1-hour Forex Chart


USD/JPY 1-hour Forex Chart

USD/JPY 1-hour Forex Chart


USD/CHF 1-hour Forex Chart

USD/CHF 1-hour Forex Chart

3 Potential Catalysts:

1. U.K.’s Tier 1 Reports – This week the U.K. will publish major reports such as its CPI, employment numbers, and retail sales reports. With the BOE members already hinting at the possibility of even more stimulus down the road, worse-than-expected data releases this week could lead to more GBP weakness.

2. FOMC Members’ Biases – Aside from the FOMC meeting minutes due on Wednesday, we’ll also see speeches from Fed members such as James Bullard and William Dudley. Watch out for hawkish remarks or hints of tightening sometime this year that could push the dollar higher across the board!

3. Risk Sentiment – Last week we saw a recovery in oil prices after remarks from Saudi Arabia’s Oil Minister hinted at possible negotiations down the road. However, rallies in high-yielding assets were limited by concerns for China and Japan’s economies. I’ll be on the lookout for more speculations of easing from both the PBoC and the BOJ and possible impact on risk sentiment.

That’s it for the pre-week trading prep this week! How about you? Are you looking at anything interesting for possible trade opportunities?

XOXO,

Huck

P.S.: Remember to never risk more than 1% of a trading account on any single trade and to adjust position sizes accordingly. Create your own ideas and don’t follow what I do. Better yet, read the Risk Disclosure!

See also:

2014 HLHB Trend-Catcher Performance

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