Market analysis on AUDUSD, EURJPY, and USDCAD: 14th November -18th November

1 year ago forexsimulation 0

AUDUSD forecast: 14th November – 18th November

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Figure: AUDUSD daily chart

The AUDUSD pair has successfully breached the triangle support zone at 0.75638 in the last week. The U.S dollar has gained immense strength against its all major rivals on the eve of the presidential election in the last week. Currently, the pair is trading just above the 200 days SMA in the daily chart. The dynamic support level at 0.75130 is going to provide a significant amount of support to AUDUSD pair which might again drive the price into the triangular region. If the price bounces back from that support level then the breaching of the triangle support level will be considered as a false breach. A decent bounce from the 200 days SMA in the daily chart will lead the pair towards the next critical dynamic resistance level at 0.75826.This level is again going to provide significant amount selling pressure to AUDUSD pair since this is the place where the broken bullish trend line resistance lines with the 100 days SMA.

Professional traders are waiting patiently for the price to breach the 200 day SMA support level at 0.75130.A clear decisive break of that level will confirm the break of the triangle chart pattern in the daily chart. The first bearish target for the AUDUSD pair would be critical support level at 0.74378.A valid break of that level will bring strong bearish momentum in the AUDUSD pair which will ultimately lead this pair towards the next critical support level at 0.71446 level. A valid break of that level will bring the key support level in action, which is situated at 0.68270 level. From that level, the pair might bounce a little bit since this level has provided a significant amount of support to Aussie dollar in the past. However, a valid break of that level will bring the long-term bearish trend again into action. Considering all the parameters the overall bias for the AUDUSD pair is strongly bearish in the upcoming week and we will look for selling opportunity with bearish price action confirmation signal near the 100 days SMA.

EURJPY forecast: 14th November – 18th November

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Figure: EURJPY daily chart

There has been a sharp recovery in the EURJPY pair in the last week however the pair ended up with bearish momentum on last Friday after hitting the critical resistance level at 116.552The pair is most likely to face a significant amount of resistance from that level since the price has formed a strong cluster in the region in the past. If the pair manages to breach that level then we will see a strong bullish momentum in the pair towards the next critical resistance level at 118.424.A valid bullish break of that level will lead the pair towards the next critical resistance level at 121.742.This level is going to provide a significant amount of selling pressure to EURJPY pairs since heavy resistance lies at that point. Most of the professional traders along with the leading hedge firm will be looking to sell that pair at that region with bearish price action confirmation signal. A clear bullish break of the critical resistance level at 121.742 level will confirm the establishment of the bullish trend in the EURJPY pairs.

The pair has just closed below the critical resistance level at 116.552.This level is going to provide significant amount selling pressure to EURJPY pair since the channel resistance is most likely to hold in favor of the long-term bearish trend. If the critical resistance level at 116.552 level restricts the bullish move in the pair then we will see a sharp drop in the EURJPY pair towards the channel support at 112.936 level. This level is going to provide a decent challenge to the bears in the EURJPY pairs. However, if the bears manage to overcome the critical support level at 112.936 level then we will again see a nice bearish momentum in the EURJPY pairs in favor of the long-term bearish trend. Considering all the parameters the next move of the EURJPY is not certain at the current moment. We will stay on the sideline until the market gives us a clear trading opportunity with perfect price action setup.

USDCAD forecast: 14th November -18th November
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 Figure: USDCAD daily chart

The USDCAD pair has strongly moved upward in the last week during the event of the presidential

Election. Currently, the pair is trading just below the critical resistance level at 1.3550 level. This level was supposed to provide a significant amount of selling pressure to USDCAD pair but due to the recent strengthening of the U.S economy, the pair is most likely to take out the current resistance level. If the pair manages to breach the current resistance level then we will see an ascending move in the pair towards the 50% retracement level at 1.35797.This level is going to provide the significant amount of selling pressure to USDCAD pair and professional traders will be looking for bearish price action confirmation signal at that level to execute their short order in the market. However, if the pair manages to breach that level then we will see a strong bullish move in the USDCAD pair towards the next critical resistance level at 1.38250.

Currently, the USDCAD pair is too close to the critical resistance level which simply blows away any type of long entry in the market. Professional traders will be looking to sell this pairs towards the critical resistance level at 1.35797.If that level holds then the pair will fall towards the first critical support level at 1.33080. A clear decisive break of that support level will bring further downward momentum in the pair towards the major support level at 1.30141.Considering all the parameters the overall bias for the USDCAD pair remains slightly bearish for the upcoming week.