In this article I will provide my view on the AUD/NZD, GBP/JPY and the EUR/USD. These are the pairs that I am currently interested in or was interested in last week for trading with the FxTaTrader weekly strategy. I will pick one to analyse in more detail from the pairs that have not been discussed yet recently.
Open/pending positions of last week
AUD/NZD
This pair will be analyzed briefly, for more information read the article Weekly Review Strategy Week 10 where the pair was tipped for going short. Last week the pullback on March 3 offered a good opportunity and a position was opened and closed the next day with a profit of 1/2 Weekly ATR, 84 pips. The following pullback looked like an opportunity and positions have been opened again. The pullback was stronger than expected and at the current level a new short position was opened.
The NZD is a stronger currency from a longer term perspective and currently has a score of 5, a pullback is taking place on this currency. The AUD is a weaker currency from a longer term perspective and currently has a score of 3. The currency remains weak and it seems to stay this way in the coming period. With a Currency score difference of 2 and the NZD being better classified it is an interesting pair. However the currency score difference should be higher for seeing momentum coming back to this pair.
- On the weekly(decision) chart the indicators are looking strong for going short.
- In the weekly chart the Ichimoku is meeting all the conditions.
- The MACD is in negative area and gaining strength.
- The Parabolic SAR is short and showing the preferred pattern of lower stop loss on opening of new long and short positions.
Ranking and rating list Week 11
Rank: 28
Rating: =
The pair is looking weak in the ranking and rating list at the moment and this is also the level where another short position has been opened. Depending on the development next week the stop loss may get hit if the pair does not pick up the downtrend. However the NZD is a strong currency having a pullback and the AUD is a weak currency having a pullback also. Once that one of the two currencies goes back to their appropiate level the downtrend may resume again.
Total outlook: Down
GBP/JPY
This pair will be analyzed briefly, for more information read the article Weekly Review Strategy Week 7 where the pair was tipped for going long. The GBP is a stronger performer from a longer term perspective and currently has a score of 7. It is clearly getting stronger lately. The JPY is an average currency from a longer term perspective and currently has a score of 6. It is gaining momentum but it will most probably return to an average currency score being between 3 and 5.
Although the currency score difference is only 1 at the moment the GBP is being better classified and it is an interesting pair. However the currency score difference should be higher for seeing momentum coming back to this pair. A position has been opened and on the pullback last Friday another position was opened around the current price level.
- On the weekly(decision) chart the indicators are looking strong for going long.
- The Ichimoku is meeting all the conditions.
- The MACD is in positive area and it seems to have almost finished consolidating.
- The Parabolic SAR is short but showing the preferred pattern of higher stop loss on opening of new long and short positions.
Ranking and rating list Week 11
Rank: 25
Rating: =
Also here just like with the AUD/NZD the pair is looking weak in the ranking and rating list at the moment and this is also the level where another long position has been opened. Depending on the development next week the stop loss may get hit if the pair does not pick up the uptrend. However the GBP is a strong currency and the JPY is an average currency gaining some upward momentum but will most probably loose strength and go back to the average range between 3 and 5. Once that JPY goes back to its appropiate level the uptrend may resume again.
Total outlook: Up
EUR/USD
This pair will be analyzed in detail. The USD is a stronger currency from a longer term perspective with a score of 8. The EUR remains weak with a score of 1. The pair broke last week through a previous bottom of 1,16569 at 26 Jan 2015. The downtrend is still strong. Last week pending orders were placed to be opened on light pullback but the pair continued the strong downtrend.
- As can be seen in the Currency Score chart in my previous article of this weekend the USD is having a score of 8 and the EUR a score of 1.
- In the current Ranking and Rating list of this weekend the pair has the top rank. This list is used as additional information besides the Currency score and the Technical Analysis charts.
- Besides the general information mentioned the outlook in the TA charts also makes it an attractive opportunity.
Ranking and rating list Week 11
Rank: 1
Rating: - - -
Weekly Currency score: Down
Based on the currency score the pair looked interesting in the last 3 months. The USD is a stronger currency from a longer term perspective and currently has a score of 8. The EUR is a weaker currency from a longer term perspective and currently has a score of 1. The currency remains weak and it seems to stay this way in the coming period. With a Currency score difference of 7 and the USD being better classified it is an interesting pair for taking postions in the coming week.
Monthly chart: Down
- On the monthly(context) chart the indicators are looking strong for going short.
- The Ichimoku is meeting all the conditions.
- The MACD is in negative area and it seems as picking up strength again.
- The Parabolic SAR is short and showing the preferred pattern of lower stop loss on opening of new long and short positions.
- Since the monthly chart is used to get the context how that pair is developing for the long term the indicators are looking fine because they are showing strength in the current downtrend.
Weekly chart: Down
- On the weekly(decision) chart the indicators are looking strong for going short.
- The Ichimoku is meeting all the conditions.
- The MACD is in negative area and gaining strength.
- The Parabolic SAR is short showing the preferred pattern of lower stop loss on opening of new long and short positions.
Daily chart: Down
- On the daily(timing) chart the indicators are looking strong for going short.
- The Ichimoku is meeting all the conditions.
- The MACD is in negative area and gaining strength.
- The Parabolic SAR is short and showing the preferred pattern of lower stop loss on opening of new long and short positions.
Total outlook: Down
EUR/USD Weekly chart
If you would like to use this article then mention the source by providing the URL FxTaTrader.com or the direct link to this article. Good luck in the coming week and don't forget to check my weekly Forex "Ranking and Rating list" and the "Currency Score".
DISCLAIMER: The articles are my personal opinion, not recommendations, FX trading is risky and not suitable for everyone.The content is for educational purposes only and is aimed solely for the use by ‘experienced’ traders in the FOREX market as the contents are intended to be understood by professional users who are fully aware of the inherent risks in forex trading. The content is for 'Forex Trading Journal' purpose only. Nothing should be construed as recommendation to purchase any financial instruments.