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FX Next Week: Opportunities In JPY Cross Pairs And EM Pairs

By Brian TwomeyCurrenciesOct 14, 2022 05:03AM ET
www.investing.com/analysis/fx-next-week-opportunities-in-jpy-cross-pairs-and-em-pairs-200631076
FX Next Week: Opportunities In JPY Cross Pairs And EM Pairs
By Brian Twomey   |  Oct 14, 2022 05:03AM ET
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AUD/CHF
+0.02%
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DXY
-0.02%
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USD/RON
-0.06%
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USD/MYR
-0.53%
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USD/CNY
0.00%
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USD/BRL
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EUR/USD weekly target at 0.9829 from 0.9678 achieved highs at 0.9807 for +129 pips. The actual target today must break 0.9817, then 0.9829.

Next week EUR/USD ranges from 0.9716 to 0.9860, and the same old weekly EUR/USD will be stuck in the same positions.

DXY target at 113.88 slated for next week traded yesterday at 113.95 highs. Next week’s target is located at 114.39. Future targets are located every 44 pips starting from 114.83, 115.27, and 115.72. Count 44 pips below and the bottom targets are known.

EUR/USD currently trades as DXY perfect opposite, as targets below are located every 44 pips. DXY 115.72 translates as EUR/USD 0.9400. Both today are located at the furthest extremes. EUR averages are rising, while DXY averages are falling.

JPY Cross Pairs

GBP/JPY and EUR/JPY trade at extreme overbought while nothing special exists to AUD/JPY, NZD/JPY and CAD/JPY. For GBP/JPY to normalize, the target is located at 163.00s and 162.00s.

AUD/USD trades massively oversold and easily target low 0.6400s to 0.6500s. NZD/USD exists and trades at the inclination of EUR and GBP.

Both EUR/AUD and GBP/AUD trade deeply overbought and require about 200 pips lower to trade correctly.

GBP/USD targets in the vicinity of 1.1080 and GBP/CHF to 1.0900’s. GBP/CHF trades as leader currency to AUD/CHF, CAD/CHF, EUR/CHF and NZD/CHF as nothing special exists to CHF except GBP/CHF.

EUR/CAD short next week remains the plan, although a higher price would ensure a far better trade while GBP/CAD may sit last on the GBP trade rankings due to a horrible position.

USD/JPY trades overbought, ranging from 146.00s to 148.00s. USD/CHF trades most overbought to USD/JPY and USD/CAD.

S&P 500 at the five-year average is 3367.25. SPX traded 3400 lows yesterday and dangerously close to the five year average. A break of the five-year average than much lower for SPX.

EM Pairs

USD/CNY trades safely above 6.9710. EM currencies trade fairly neutral as nothing exciting exists. USD/HUF, USD/ZAR and USD/MYR stand out as overbought while USD/RON trades neutral. USD/BRL trades neutral. Neutral to the Bulgarian Lev, USD/BGN.

FX Next Week: Opportunities In JPY Cross Pairs And EM Pairs
 

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FX Next Week: Opportunities In JPY Cross Pairs And EM Pairs

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