FOREX Weekly Market Update 28.05.18
Welcome to a new trading week. First of all, a quick recap into last week. I traded the Euro Kiwi all week which finished up around +8% in total. Check out my last video for analysis of the trade and predictions. I will keep a close eye on this pair during the week as we’ve violated an ascending trend-line that’s been respected since January 2017.
Moving into this week and already I’m looking at a position on the Aussie Yen. If we start on the monthly chart, we can plot an ascending trend-line from February 2009 all the way through to the present day. We’re now testing this once again.
Weekly chart, we can draw on another trend-line connecting the swings and a low-test candle in early May gave momentum to break out of this. Last week, we saw a test and rejection at the 50ema and I’m now looking for price to move lower to the key support area of 81.750.
Now to the daily chart, where we saw a rejection at the 200ema and 3 days of bearish momentum. I’m looking at this to continue into the open and IF we get a push down to the 81.750 level, THEN I will look for entry reasons at the 4 hour and 1 hour time frames.
Another pair that’s of some interest is the Aussie Kiwi. Here’s why.
Monthly chart we can see price being squeezed within this wedge formation. May is currently experiencing a bull run into the 50ema.
Weekly we see price deceleration into the 200ema and the potential right shoulder forming of a head and shoulders pattern.
Daily chart we’ve seen price deceleration and a stall at the 1.09300 resistance level, which since 2003 has been a huge area of interest.
4hr sees bearish MACD divergence and highlights further price stall across the week.
So I’m looking to short this with targets back down into the daily 50ema – which happens to be the 38.2% Fib level from the April swing low to the recent high.
Stay smart this week traders.. Some high impact news looming, and of course Friday’s Non Farm Payroll Data. That’s it for this week’s FOREX Weekly Market Update. Until next week.