[FOREX TIP] USDCHF Weekly Forex Forecast – 15th to 19th May 2017

USDCHF Weekly Forex Forecast – 15th to 19th May 2017

Technical Outlook: USDCHF is continuing to make lower highs and the support level at 0.9894 – 0.9861 has been repeatedly tested. A break down below this support level will no doubt trigger further declines on the descending triangle pattern that is being formed. Alternately, a break out from the falling trend line could trigger some bullish upside in prices. Given the current structure of USDCHF, it is ideal to purchase USDCHF near the support level and booking profits at regular intervals on the upside bounce. A daily close below 0.9861 will however signal a bearish outlook and will invalidate the upside bias.

Fundamental Outlook: A quiet week from Switzerland, this week shows only the release of the producer prices index which is expected to see no change in April. This follows last week’s inflation figures that were released, which rose 0.2% on a monthly basis as expected. It is also a quiet week from the U.S. where data is expected from the NY Fed’s Empire State manufacturing index and the Philly Fed manufacturing index, both of which are forward looking indicators.

Previous USDCHF Weekly Forex Forecast

USDCHF Weekly Forex Forecast – 15th to 19th May 2017

The post USDCHF Weekly Forex Forecast – 15th to 19th May 2017 appeared first on Advanced Forex Strategies.

from Advanced Forex Strategies

[FOREX TIP] USDJPY Weekly Forex Forecast – 15th to 19th May 2017

USDJPY Weekly Forex Forecast – 15th to 19th May 2017

Technical Outlook: USDJPY has failed to capitalize on the gains above 114.00 and eventually reversed to close lower on Friday, following up from Thursday’s declines as well. Price action is now close to testing the initial support at 113.025 which could offer some support in the near term. Watch the Stochastics on the 4-hour chart which is currently showing a hidden bullish divergence with a lower low while price is making a higher low. A reversal at 113.025 will signal a continuation to the upside. However, in the event of a break down below 113.025, expect further declines in USDJPY that could push the currency pair lower towards 111.65.

Fundamental Outlook: Data from Japan this week will see the first quarter gross domestic product (GDP) numbers coming out. Expectations point to a 0.4% quarterly increase in the GDP while the annualized GDP growth rate is expected to rise 1.8%, up from 1.2% previously. Besides the GDP numbers, industrial production figures is expected to show a continued expansion for April as well. Machinery tools orders are expected to rise 2.5% on the month which is expected to push the yearly rate to 1.2%.

Previous USDJPY Weekly Forex Forecast

USDJPY Weekly Forex Forecast – 15th to 19th May 2017

The post USDJPY Weekly Forex Forecast – 15th to 19th May 2017 appeared first on Advanced Forex Strategies.

from Advanced Forex Strategies

[FOREX TIP] EURUSD Weekly Forex Forecast – 15th to 19th May 2017

EURUSD Weekly Forex Forecast – 15th to 19th May 2017

Technical Outlook: EURUSD broke out from the rising wedge pattern as noted last week and fell to 1.0850 where a minor support level developed. This led to prices bouncing back on Friday and the EURUSD is now within reach of testing the break out level at 1.0950. This reversal is ideal to renew short positions in EURUSD as price action is likely to push back lower again, targeting 1.0735. However, following the reversal at 1.0950, watch for price to break 1.0850 support, failing which we could expect to see a bullish trend emerge. The bearish bias will be invalidated on a close above 1.0950 on a daily basis and above the previous high at 1.1018.

Fundamental Outlook: With the political headwinds receding and the broader economic outlook starting to brighten, the common currency will be back to focusing on the fundamentals. This week, data is expected to confirm a rebound in both the headline and core consumer prices that could see further pressure being put on ECB officials to cut the QE program. The Central bank came under pressure last week as ECB president, Mario Draghi was questioned by lawmakers from Netherlands. Besides the inflation figures, the German ZEW economic sentiment is also expected to rise higher for the month of May, which could be positive for the euro.

Previous EURUSD Weekly Forex Forecast

EURUSD Weekly Forex Forecast – 15th to 19th May 2017

The post EURUSD Weekly Forex Forecast – 15th to 19th May 2017 appeared first on Advanced Forex Strategies.

from Advanced Forex Strategies