07

I plan my trading for the week ahead each weekend. Here are the Forex trading opportunities I will be stalking this week.

Note that this is my current view, but if market conditions change my view can change too. Generally I will trade in alignment with what I have noted here, though I will wait for a set-up before I enter. I base my view on technical and fundamental information. This is my beliefs and you are welcome to have opposite ones. Having a plan is more important than the actual direction for me. 

  • Sell GBP/USD. Trend – MT is bear fast. Both a more dovish than expected BOE and a good job numbers in the US saw GBP turn into a fast bear MT. Look to sell but careful of a bounce so be patient and stalk a entry.
  • Buy  USD/JPY. Trend  MT is bull fast. The good job numbers in the US have increased expectations of a December rate hike dramatically. BOJ is not looking at increasing asset purchases but the current scale is still huge. Look to buy but stalk an entry on a lower time-frame.
  • Sell AUD/USD. Trend –  MT is bear normal. The RBA is on hold for the moment, but this could well change and with USD strengthening look to sell.
  • Sell EUR/USD. Trend– MT is bear fast. The divergent paths of the ECB and Fed is in play in the recent price movements and more downside can be expected.
  • Sell NZD/USD. Trend – MT is bear normal. We quickly moved from bull to bear MT last week. Poor job numbers and a resumption of the downtrend in milk prices is pressuring the kiwi.
  • Buy USD/CHF. Trend– MT is bull normal. Continue to buy with the divergence theme in play.
  • Waiting  EUR/CHF. – MT is sideways normal. Stops were taken out before the price rebounded on Friday. Expect the sideways MT to continue.
  • Waiting USD/CAD. – MT is sideways volatile. Good job numbers on the surface in Canada, but the underlying report shows that much of the increase was due to part-time jobs. Other data was weak and oil is under pressure again. Look for a transition to a bull MT next week.
  • Sell EUR/GBP. Trend – MT is bear normal. Bear normal MT is holding but a bullish candle on the back of a more dovish than expected BOE put paid to the downside momentum. But with good UK data and an even more dovish ECB expect further downside.
  • Waiting AUD/JPY.  – MT is sideways normal. Wait for now.
  • Waiting  NZD/JPY. – MT is sideways normal. Wait for now.
  • Waiting GBP/JPY.MT is sideways normal. Wait for now.
  • Buy EUR/JPY. Reversal –  MT is sideways normal. Another bullish hammer off the bottom of the range, but trade with caution.
  • Waiting GBP/NZD. – MT is sideways normal. Wait for now.
  • Waiting EUR/NZD. – MT is sideways normal. Wait for now.
  • Waiting AUD/NZD. – MT is bear volatile. Weekly candles suggest a reversal may be in play, but wait for an appropriate entry.
  • Waiting EUR/AUD. – MT is bear normal. Bear normal still in play but a minor double bottom suggests caution.
  • Waiting GBP/AUD.  – MT is sideways normal. Wait for now.
  • Waiting AUD/CAD. –  MT is sideways volatile. Wait for now.
  • Waiting GBP/CAD.  – MT is sideways normal. Wait for now.
  • Sell EUR/CAD. Trend – MT is bear normal. Continue short.
  • Waiting NZD/CAD.  – MT is bull normal. But turning volatile and may switch to sideways.
  • Waiting CAD/JPY. – MT is sideways normal. Wait for now.
  • Waiting CHF/JPY. – MT is sideways normal. Wait for now.
  • Buy GBP/CHF. Trend – MT is bull normal. Continue to buy. Despite the sell off we have a bullish hammer suggesting the uptrend may continue.
  • Waiting CAD/CHF. – MT is sideways normal. Wait for now.
  • Waiting NZD/CHF. – MT is sideways normal. Wait for now.
  • Sell AUD/CHF. – MT is sideways normal. Bearish hammer formation suggests sell, but conviction is low.

Analysis to read:

Marc Chandler

Jim Langlands

Economic calendar for the week ahead:

(MT = Market Type: Click for more information on market types.)

Trend: Market is trending in the direction I have listed and I expect it to continue. 

Reversal: I am looking for a reversal against the current trend.

Breakout: The currency pair is breaking out of a range. 

About the Author

Sam Eder is a currency trader and author of the Definitive Guide to Developing a Winning Forex Trading System and the Advanced Forex Course for Smart Traders (get free access). He is the owner of  www.fxrenew.com a provider of Forex signals from ex-bank and hedge fund traders (get a free trial). If you like Sam’s writing you can subscribe to his newsletter.