Weekly Technical Forecast (Oct 16 - Oct 20)

EUR/USD: Bullish

Exactly as we had forecasted, the Euro – Greenback pair traded higher this week and approached the resistance zone composed of the EMA (20) and the SMA (50) lines. Next week, EUR/USD’s rally is highly likely to extend, suggesting that the 32-month peak at 1.20937 could possibly be reached once prices break above the SMA (50) on a daily closing basis. Alternatively, the Aug 17 nadir of 1.16613 will remain substantial base given EUR/USD perforating below the EMA (20) line.

Weekly Technical Forecast (Oct 16 - Oct 20)

GBP/USD: Bearish

The British Pound – Greenback has spent a week rallying after a near-term bearish trend. The stable resistance level of 1.32670 (EMA (20), Aug 3 high) was struck to the topside on Thursday, however, the bullish momentum seemed weaker, indicating that prices may pull back below the 1.32670 horizontal line and enter back into the EMA (20) – SMA (50) zone. A daily turn below the SMA (50) will likely pave the way for a further drop to retest the Oct 6 low at 1.30286. Otherwise, GBP/USD could possibly reach the 15-month high of 1.36516 if prices push higher.

Weekly Technical Forecast (Oct 16 - Oct 20)

USD/JPY: Bearish

USD/JPY has retraced this week and traded into the EMA (20) – SMA (50) support range after a few attempts to rebound from the EMA (20) line, signaling that we may see prices continue to descend in the near future. The solid support area is found at 110.665 – 110.838 (Aug 31 high, SMA (50)). Conversely, a break back above the EMA (20) on a daily closing basis will open the door for a coming challenge of the 3-month top at 113.145.

Weekly Technical Forecast (Oct 16 - Oct 20)

USD/CAD: Neutral

Despite not confronting the 1.26623 – 1.27768 resistance area, the Greenback – Loonie has retreated to the EMA (20) – SMA (50) support zone this week (1.24013 – 1.24591). A bounce from this area seems less likely as we see little bullish momentum. Given a daily close below the 1.24013 – 1.24591 area, a new short-term downtrend could develop in the near future, hinting for a resumption of the grand bearish trend. Alternatively, the 1.26623 – 1.27768 resistance area will remain on the radar if USD/CAD’s short-term uptrend continues to extend.

Weekly Technical Forecast (Oct 16 - Oct 20)

AUD/USD: Bullish

The Aussie – Greenback had an energetic week finishing its near-term bearish trend and trading higher into the EMA (20) – SMA (50) resistance area, suggesting that prices are likely to continue to advance next week. The next resistance level identified at 0.80641 (July 27 peak) could be challenged given AUD/USD piercing the SMA (50) to the topside on a daily closing basis. On the contrary, a retest of the June 30 support level at 0.77126 is entirely possible in case the EMA (20) line is broken below.

Weekly Technical Forecast (Oct 16 - Oct 20)

NZD/USD: Bullish

The Kiwi – Greenback has strongly rallied this week, turning back above the support-turned-resistance level of 0.71306 (Aug 31 bottom). Now, prices are in the EMA (20) – SMA (50) range with a strong bullish momentum, implying that the SMA (50) resistance line will likely be approached in near-term. A daily break above that line will open a path up towards the substantial resistance level spotted around 0.73352. Alternatively, the newest swing low at 0.70534 forming last week could possibly be confronted soon once both the EMA (20) and the Aug 31 base at 0.71306 are perforated.

Weekly Technical Forecast (Oct 16 - Oct 20)
See also:
Cryptocurrencies weekly technical outlook.
Cryptocurrencies weekly technical outlook.
10.12.2018
Technical analysis