Weekly Market Outlook - Technical Picture/Pattern Analysis

EUR/USD

Weekly / Daily :

Last week sees a jump higher to multi-year broken channel low. Last week closed just below the channel, and test of this level will determine how far the Euro may go. Expected trading range for coming weeks/days extends from 1.3670 to 1.4370.

To the upside, old channel low, acting as resistance, stands at 1.4080. A break and a daily/weekly close above this level may be the first sign of further Euro appreciation. 1.4380 remain the first important level to monitor (1st objective). A break above this level means another test of last week highs at 1.4715 (2nd objective). A weekly close above this level argues in favor of a run towards 1.50 handle.

To the downside, 1.3855 remain the principal support to monitor. A break and/or weekly close below this level means a consolidation will occur. 1.3690 minor support may reject prices (1st objective), but once there only 1.3635 old fib. extension may halt price fall (2nd objective). Pivot point and main supports stands at 1.3550.

EURUSD Weekly

EURUSD Daily

4-Hours :

Last week impulsive move isn't over, but consolidation is under completion. We may see price kept in the 1.38 - 1.43 range due to end-of-year, but a break of one of these limits may generate some volatile moves.

To the upside, while above 1.3810, bias remain to the upside. Break above 1.4150 resistance may lead to a run towards 1.4315 initially (1st objective), ahead of 1.4975 fib. level (2nd objective). If break above the 2nd objective, nothing may halt prices before 1.4715 top (3rd objective).

To the downside, 1.3810 remain the most important support to monitor. Break below argue in favor of a deeper pullback towards 1.3580 - 1.3605 support (1st objective). No rejection here and a fall towards 1.3250 may be seen (2nd objective). Channel low stands at 1.29. Break below is negative.

EURUSD 4-Hours

GBP/USD

Weekly / Daily :

Last week sees a breakout of a 3-month old trendline. Still in consolidative mode, we may see impulsive moves higher in short-term. Expected trading range extends from 1.5070 to 1.5520.

To the upside, the 1.5260 cluster resistance has been broken earlier this week. While above, bias remain positive. Break above 1.5260 daily resistance trigger an interesting buy signal, and we expect price to hit 1.55 zone is nearterm (1st objective). Above there, nothing strong before 1.5740 cluster resistance (2nd objective).

To the downside, pullback below 1.5100/20 will turn the bias neutral and a support test may follow. 1.4983 remain the main support to watch (1st objective), as a break and daily close below trigger a sell signal towards 1.4780 (2nd objective). If no rejection, 1.4550 may be tested later (3rd objective). Break below 1.4465 is strongly negative.

GBPUSD Weekly

GBPUSD Daily

4-Hours :

Price is still in main 2-month consolidation range. However, impulsive moves above range limits are highly probable.

To the upside, price is facing an important resistance at 1.5364. In case of a break AND a 4-hours close above this level, a strong impulsive move towards 1.5550 range high (1st objective) ahead of 1.5620 top (2nd objective). No rejection here will lead to another impulse towards 1.5870 (3rd objective).

To the downside, the 1.5180 - 1.5220 zone act as a pivot point. A pullback below this level damper bullish expectations and a fall towards recent hourly supports may be seen. 1.5060 may halt and reject prices, but if not, a stronger fall towards 1.4950 trendline is possible (2nd objective). Break below meets daily/weekly objectives.

GBPUSD 4-Hours

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