The Forex Zone – Erratic activity as trade tensions send mixed signals


Here in The Forex Zone we review the day trade views for most the major Forex currencies in a volatile week for FX markets amid ongoing trade concerns and inverting yield curves. Again, we spotlight the significant levels to watch and the directional biases for the key Forex pairs; EURUSD, GBPUSD, USDCAD, AUDUSD, NZDUSD and USDJPY.

EURUSD: Downside threat to key 1.1069

A plunge Thursday through 1.1129 and 1.1113 supports to reinforce the Tuesday-Wednesday selloff (to breakout of the range of the past week), reinforcing the topping and negative theme and to keep risks lower Friday.

For Today:

  • We see a downside bias for 1.1090; break here aims for key 1.1069, maybe towards 1.1025.
  • But above 1.1133 opens risk up to 1.1159.
eurusd chart

GBPUSD: Clinging to a negative theme again today

An unexpected rebound Thursday above 1.2001/07 and 1.2148 resistances, but then a stall back from just above here (from 1.2151) to just cling to a negative tone and leave the bias back lower for Friday.

For Today:                                               

  • We see a downside bias for 1.2066 and 1.2013/00; break here aims for 1.1955 and 1.1903/01.
  • But above 1.2151 opens risk up to 1.2210, which we would look to try to cap.
gbpusd chart

USDCAD: Risks higher

A dip and a bounce Thursday from new support at 1.3280 to hold onto upside forces from Wednesday’s strong rebound through multiple resistances, keeping the bias higher for Friday.

For Today:

  • We see an upside bias for 1.3345; break here aims for 1.3383 and maybe key 1.3432.
  • But below 1.3280 opens risk down to 1.3233.
usdcad chart

AUDUSD: Risks just lower

A rebound effort Thursday but whilst capped by the .6816/22 resistance peaks and the down trend line from July we hold onto negative forces from Wednesday’s selloff through .6743/41 supports (for a small topping pattern) to keep risks lower again Friday.

Furthermore, this positive price action also sets the bias to the upside for Friday.

For Today:                                                         

  • We see a downside bias for .6732; break here aims for key .6707 and maybe .6673.
  • But above .6816/22 opens risk up towards .6868.
audusd chart

NZDUSD: Bias negative

A prod lower to .6417 Thursday and a low-level consolidation after Wednesday’s roll lower, to highlight negative forces from the earlier July plunge lower, to keep risks lower for Friday.

For Today:

  • We see a downside bias for .6417; break here aims for quickly opens risk down to .6400/6396 and maybe the low at .6376.
  • But above .6471 opens risk up to .6499.
nzdusd chart

USDJPY: Bias lower

A spike higher and a failure back lower on Thursday to sustain a negative bias from Wednesday’s selloff (that rejected Tuesday’s aggressive rally up through multiple resistances), to leave risks lower for Friday.

For Today:

  • We see a downside bias for 105.60; break here aims for 105.02/00.
  • But above 106.35 opens risk up to 106.78 and 106.98/107.09.
usdjpy chart

Steve Miley

Editor in chief

Steve Miley has 29 years of financial market experience and as a seasoned expert now has many responsibilities. He is the founder, Director and Primary Analyst at The Market Chartist, the Editor-in...continued

Comment on this video

Your email address will not be published. Required fields are marked *

Latest Related News

US Dollar negative tone

Timing reversal on US Dollar Index creates a negative in a sideways trend.EURUSD posts opposite, positive signal to the US Dollar IndexAussie (AUDUSD) continues to underperform Continued

The Forex Zone Forecasts – A solid US Dollar tone with risk on theme

The US Dollar has remained firm, though slightly hesitant driven by positivity from the US-Sino trade talks and upbeat comments from various Fed speakers on the US economy. The Forex Zone looks at day trade possibilities and forecasts for the major Forex rates; EURUSD, GBPUSD, USDCAD, AUDUSD, NZDUSD and USDJPY. EURUSD: Prod at key 1.0989 A Thursday prod just below key 1.0989 for an intermediate-term shift to… Continued

GBPUSD Forecast – Upside bias

A Thursday rebound to reject the minor Wednesday setback that held above the 1.2815/1.2799 support area, to retain upside forces from Monday's surge up through the November down trend line and also 1.2832 and 1.2878 resistances, to leaves risks higher for Friday. We see an upside bias for 1.2898; break here quickly aims for 1.2917 and maybe notable 1.2976.But below 1.2815/2799 opens risk up to 1.2768, maybe 1.2749. Intermediate-term… Continued

Euro vulnerable, at key support into GDP release

EURUSD remains vulnerable into Thursday with both potentially negative influences on the Euro side and possibly positive impacts on the US Dollar side.Today the focus will be on Jerome Powell’s second day of testimony to Congress, with Eurozone GDP earlier this morning.We continue to see risks for a more negative outcome on the Eurozone side and for a more hawkish leaning from Powell.This could see… Continued

Pound surges after Brexit Party “stands down”

The spotlight shifted to the UK on Monday, where general election politics had a significant impact on the Pound.Nigel Farage stated that the Brexit Party would not put candidates up for election in those parliamentary seats that were won by the Conservative Party in 2017.This is seen as a positive for the Tories, as it means that the Leave vote will not be split in… Continued

Forex Brokers in your location