EURUSD Weekly Forex forecast: January 28 — February 1, 2013, based on the rules of forex strategy of the site and the rules of graphical analysis
- Recommend to the forecast — Forex Broker with MT4
Analysis of the price movement of EURUSD over the past trading week:
1) The week closed a confident buying candles — white candle, closed at the maximum, which absorbed the body last week’s candle.
2) Candle Friday also closed white candles, a little below 50% Fibonacci term downward movement with a maximum of 4 May 2011.
This week, we finally got up the breakdown of the symmetrical triangle and although in the path of prices present serious enough resistance — 50% Fibonacci + census important historic high — 24.02.2012 and roll down still possible, but given the previous trend — is up, the priorities in the medium term anyway you can give shopping. Consequently kickbacks to important resistance levels with proven signals at D1-W1, we are all the same will be considered as the point of the water in the market to buy. And of course the option of selling the same shall not exclude, at least within the correction to these levels.
Now let’s look and find these resistance levels on the chart.
Levels of resistance and sell signals, located above the closing price of the week:
1) First of all, we observe that the price went up quite a serious level of resistance: Zone cluster of Fibonacci (161.8% of the different movements: Flag on the D1 to retest orange background + channel intermediate motion correction — 12/19/2012 maximum and minimum of 4 January 2013 + last corrective movement of the triangle) + 50% level of Fibonacci with a maximum of 4 May 2011 + census maximum February 24, 2012 that began last fall in a black long channel.
+ At this level there is 2 waves Wolf for sale, but in this case to make deals for them, I would recommend not less than the breakdown purple line! That is, in this case, they are only an additional signal and the target, if the price is still going down.
One of them, we have tried to trade last week, but the price is down and is gone, but still returned to the suite-zone, so it’s not very good for its mining. The second is not particularly well-formed, but nevertheless it is …
What can be said about this level 1.3484-1.35: first is the level of the intended stop prices may rebound downward correction (while only talking about it), and not a reversal, as the price to move higher is exactly where.
And so if the price is suitable for this level, I would recommend it to record transactions (perhaps not entirely, if desired), but still hang down quite possible. Whether to trade down from it, while not exactly tell you to wait for reversal signal or a combination of a minimum of at least a reversal candle or the breakdown of important trend line and retest. That is, I sell well on the level not recommend now, as it is clearly against the main trend trading and stop loss should be set at a minimum above the 61.8% Fibonacci blue (which is 350-400 points for the 4-digit broker such Forex4you and 3500-4000 for 5-digit brokers, Alpari type — that is a lot!). Options transactions for sales discussed below, including if there is a retreat from the level of 50%.
So expect the closing unique, and perhaps even closing the week will tell about whether to sell or continue to move on up!
2) If the day to exceed the level and close confident buying candles, the price certainly can go even further — to the top of the blue background channel. Again — this is the level of profit in the first place! If the day is closed and there is a reversal candle a pronounced divergence — can consider options hang down, but it’s better to wait and retest pivot combination of important trend lines, the breakdown of which will talk about the possible downward movement.
If the day closes above the channel background, there is its retest, it is a signal for further upward movement.
3) The level of 61.8% Fibonacci retracement of blue — I think his target at this point in the breakdown of the blue channel of the background and I think it will hang down.
4) The upper limit of the orange links — point in the same profit and anticipated rebound down.
At this point, all the points to move up.
Options resistance levels located below the closing price of the week:
1) The green trend line, Low Thursday-Friday: hang up on it is quite possible, even if the price does not reach the level of 50% cyan Fibonacci. If there is a breakdown and retest it (and better sample after release from the 50% level), you can receive the signal to sell, stop loss — above the maximum profit — retest of last week’s triangle (brown line).
2) The brown line of the triangle top — retest it and sliding door stop candle formation — a signal to buy. Break down + retest, and better and a daily close below it and then retest — a signal for future sales!
3) The purple trend line — a line of low 04.02 Wolfe Waves. End call up quite possible to at least retest brown line punched triangle. Break down + retest — a signal for future sales.
4) The blue line is the trend line of the triangle + brown — approach from the top — it is quite possible at least a temporary rebound, especially at this level will be the level of 38.2% of the last up move up with a minimum of 4 January 2013.
Break brown trend line down, closing the day and retest the bottom-up — a signal for future sales.
5) The lower boundary of the channel background — at least a temporary rebound is possible, but the sample and the closing of the day, and then retest the channel — a clear signal for the sales!
6) The level of 61.8% Fibonacci of the last upward movement this year.
7) Orange Line Canal — a very important resistance level for the price. When approaching from the top — it is support, a retreat from which at least the most likely temporary, the breakdown down, closing the day or even a week + retest — it is a resistance level and going down the fastest continue.
While all levels for this euro-dollar forex forecast. As the situation on the market, try to comment on the site.
I also want to add that next Thursday — a day a month! — Possible surprises …
- Download a template for MetaTrader 4 for EURUSD — 27_01_2013_eurusd.tpl
