Weekly Trading Prep: Sept. 12 – 16, 2016

Countdown to the Fed’s statement! If you think that we won’t see volatile forex price action until then though, then you haven’t seen these potential catalysts and inflection points on the majors!

Weekly Inflection Points to Watch

EUR/USD

GBP/USD

USD/JPY

USD/CHF

Open Price 1.1235 1.3262 102.58 0.9746
Last Week’s High 1.1328 1.3446 104.16 0.9815
Last Week’s Low 1.1139 1.3240 101.21 0.9650
Top Weekly ATR 1.1330 1.3440 103.92 0.9830
Bottom Weekly ATR 1.1141 1.3084 101.24 0.9650

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. Fed rate hike speculations – Will the Fed raise its rates this month? Forex traders are all over the place with their speculations and it’s inspiring unpredictable and volatile trading for many dollar-related pairs. Watch out for soundbites from voting Fed members and reputable Fed analysts for direction on the majors this week!

2. Central banker speeches – Since we won’t hear from the Fed until next week, forex traders may turn their attention to the BOE and SNB monetary policy decisions on Thursday and a speech from Draghi tomorrow. Any strong bias or hints of further easing could set intraweek trends for GBP, CHF, or EUR.

3. Other tier 1 reports – If central bank shenanigans aren’t your thing, then you could take advantage of tier 1 reports like China’s CPI, the U.K.’s employment releases, or Uncle Sam’s retail sales and CPI reports that could move major pairs during their releases. Just make sure you’ve planned ahead so you won’t be surprised by volatile price action!

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

Huck's Signature

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