Who’s up for another forex trading week? I hope you are, because I’ve marked some pretty interesting chart levels on the majors!
Weekly Inflection Points to Watch
|
EUR/USD |
GBP/USD |
USD/JPY |
USD/CHF |
|
| Open Price | 1.1309 | 1.3057 | 100.78 | 0.9615 |
| Last Week’s High | 1.1367 | 1.3187 | 101.48 | 0.9760 |
| Last Week’s Low | 1.1153 | 1.2866 | 99.55 | 0.9538 |
| Top Weekly ATR | 1.1404 | 1.3242 | 102.23 | 0.9699 |
| Bottom Weekly ATR | 1.1215 | 1.2872 | 99.33 | 0.9532 |
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
3 Potential Catalysts:
1. Fed speculation – We don’t have that many economic reports lined up, so price action will likely follow tons of speculation from market players. The top issue could be Janet Yellen’s speech in Jackson Hole this week. Will she echo the FOMC meeting minutes and hint at cautiousness? Or will she convey optimism for Uncle Sam and inspire more hawkish bets?
2. Commodity prices – Gold and oil prices took some hits earlier today thanks to dollar demand and profit-taking from oil’s recent rally. Will commodity prices get back to uptrends this week? Or will the sellers step in and influence forex bears to come out and play?
3. Brexit concerns – I’ve heard from Forex Gump that Angela Merkel and her friends are set to have a huddle over their next steps after the EU referendum. Hints of trouble for the U.K. (or the euro zone, for that matter) could take its toll on the pound and euro’s recent strength, while relatively productive statements could hint that the sky won’t fall for both economies after all.
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
This content is strictly for informational purposes only and does not constitute as investment advice. Trading any financial market involves risk. Please read our Risk Disclosure to make sure you understand the risks involved.