Weekly Forex techincal forecast January 18 - 22

Author: Timur Sveridov

The value of the euro against the US dollar dropped significantly last week. The ended trading led to the fact that both the price and the main indicators fell into negative territory. At the same time, the movement reacted to all important levels, including the level of moving averages. The trading week ended near the level of 1.2083. It can be expected that this level will turn out to be critical, especially since the price has not dropped below this mark for a long time. Therefore, we can expect an upward correction.

Parsing EUR / USD by moving averages, RSI and MACD

This currency pair as a whole is dominated by an upward trend, but it is distinguished by the absence of strong volatility, since the main upward movement is not confirmed by indicators. If you look at oscillators or trend indicators, they are close to neutral indicators and do not speak of a clear uptrend. Nevertheless, upward dynamics can be traced on the price chart. For the British pound against the US dollar, it is important to note the significance and level of the moving averages. The price reacts to this level every time it approaches it. Now the price is again approaching this level, which means that we can expect another upward movement.

Parsing GBP / USD by moving averages, RSI and MACD

The dollar is trying to create an uptrend against the Japanese yen. The problem of the upward movement is that the currency pair has been falling for a long time, and also that in the direction of the upward movement the market needs to overcome the level of moving averages and the important level 103.868. Please note that the level of moving averages has already been tested three times, and each time after that the price went up. Therefore, if the price manages to gain a foothold above the level of 103.868, then it will be possible to trade upward.

Parsing USD / JPY by moving averages, RSI and MACD


The Australian dollar continues to form an uptrend against the US dollar. Nevertheless, the trades in recent weeks have reduced the upward trend and transferred it to a sideways movement. This is clearly seen in the histogram, which develops in a fairly wide, but clearly limited range. The oscillator, despite the dominance of the uptrend, looks down. Two trend lines are traced along the price chart, which are now converging. Therefore, the best solution now is not to trade and wait for which of the trend lines the price will break. Open a contract in the direction of this movement.

Parsing AUD / USD by moving averages, RSI and MACD

The US dollar continues to lose ground against the Canadian dollar. At the same time, the downward movement is not strong, but not pronounced. If we consider the indicators of the last weeks, then they do not give specific signals for trading, since they are close to neutral indicators. We draw attention to the price chart, where recently the price has tested the level of 1.2774 at least three times, and it tested this level in a situation when it was as close as possible to the level of moving averages. Twice this led to an impulsive downward movement. The third time happened quite recently. Therefore, we can expect that the market will again make an impulsive downward movement, which means we open an outgoing contract.

Parsing USD / CAD by moving averages, RSI and MACD

The dollar against the Swiss franc reduced volatility last week after a fairly strong upward movement. You don't have to look at the indicators, since they do not give signals. We draw attention to the price chart where the price of the currency pair was squeezed into a sideways range with borders at the top at the level of 0.8918, and at the bottom at the level of moving averages. As long as the price is in this range, we do not trade. We are waiting in which direction this trading range will be broken by the market and open a contract in the direction of movement.

Parsing USD / CHF by moving averages, RSI and MACD

The past week turned out to be negative for the US dollar against the Russian ruble, as the US currency was mainly decreasing in price, actually reaching the level of 73.00. Please note that the price of this currency pair develops within the boundaries of a fairly wide side channel, and at the same time moves around the moving averages. At the same time, the indicators are at neutral values ​​and do not give any signals for trading. Since the price is now close to a strong level, which has demonstrated its significance many times in history, we can expect that there will be an upward movement in the direction of the moving averages and possibly even higher. Therefore, we open an upward contract.

Parsing USD / RUB by moving averages, RSI and MACD

Gold made a strong downward movement, after which a sideways correction occurred, which squeezed the price within the range of 1824.612 and 1856.164. Please note that at the current stage of the market, the price is close to the lower border of this range, but the indicators are looking up, although they are in the negative area. Therefore, if you want to open a risky contract, then here and now you can open an upward contract in the hope that the side channel will work out and the price will rise up. The safest trade is a contract not to open and wait in which direction from the designated range the market will start moving.

Parsing Gold on moving averages, RSI and MACD


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