By: DailyForex.com

GBP/USD

The GBP/USD pair fell hard during the course of the week, as we continue to see bearishness in the British pound in general. I believe that this market will continue to go a little bit lower this week, but as you can see on the chart I have a yellow rectangle drawn on top of the 1.65 handle. That area and my opinion is going to be supportive, so I think getting below there will be a little bit of a challenge. Although I am very bullish on the US dollar, I think this is a pair that might be best left alone at the moment.

GBPUSD Week 82414

EUR/USD

The EUR/USD pair fell again during the course of the week, and more significantly broke down below the 1.33 handle. We broke down below the bottom of three hammers in a row, so on this chart we see nothing but negativity, and as a result I am a seller of the Euro in general. Quite frankly, I think that the market will drop to the 1.30 level, and then to the 1.28 level which I have highlighted by the yellow rectangle. I think rallies will continue to be selling opportunities.

EURUSD Week 82414

USD/JPY

The USD/JPY pair broke out during the week, closing just underneath the 104 level. That’s an area that is slightly resistive, but the fact that we get above the 103 level tells me that the market is in fact trying to grind its way higher. The 105 level above will be somewhat resistive, but ultimately I think this market is moving to the 110 level, so buying on the dips will be the way to go as the US dollar continues to strengthen overall. By the end of year, I think this pair will probably be closer to the 110 handle.

USDJPY Week 82414

USD/CAD

The USD/CAD pair rose during the course of the week, but as you can see for the third week in a row we found far too much resistance of the 1.10 level. I think ultimately we will get above there though, so that’s why I have the yellow rectangle drawn on the chart. If we don’t get the breakout above there during this week, we could very well see the market pullback to the trend line, which I fully anticipate will hold as well. Either way, I am bullish of the US dollar in general but those are the two areas I am looking for bullish action in order to start buying the US dollar, and selling the Canadian dollar.

USDCAD Week 82414

Related Articles
  1. Stock Analysis

    4 Reasons To Sell TripAdvisor (TRIP)

    Learn about the bearish case on TripAdvisor's stock. The business is facing hurdles that include increased competition, even though its valuation appears rich.
  2. Stock Analysis

    How to Find Quality Stocks Amid the Wreckage

    Finding companies with good earnings and hitting on all cylinders in this environment, although possible, is not easy.
  3. Chart Advisor

    How Are You Trading The Breakdown In Growth Stocks? (VOOG, IWF)

    Based on the charts of these two ETFs, bearish traders will start turning their attention to growth stocks.
  4. Stock Analysis

    Analyzing Sirius XM's Return on Equity (ROE) (SIRI)

    Learn more about the Sirius XM's overall 2015 performance, return on equity performance and future predictions for the company's ROE in 2016 and beyond.
  5. Investing

    Adobe Systems: A Company In Transition (ADBE)

    Adobe Systems is undergoing a major change to its business model. We take a look at its strategy, challenges, and performance.
  6. Credit & Loans

    New Rules May Make It Easier to Get a Mortgage

    Fannie Mae and Freddie Mac have come to terms with lenders on how to solve mortgage disputes. This could be good news for people with lower credit ratings.
  7. Stock Analysis

    3 Risks Emerging Markets Debt Faces in 2016

    Learn about the major risks for emerging market debt in 2016. Discover how low interest rate policies by central banks fueled the growth of debt globally.
  8. Stock Analysis

    Glencore Vs. Noble Group

    Read about the differences between Glencore and Noble Group, two companies in the commodities business. Learn about accounting accusations facing Noble Group.
  9. Investing News

    How Interest Rates Can Go Negative

    Central banks from Europe to Japan have implemented a negative interest rate policy (NIRP) in order to stimulate economic growth.
  10. Investing News

    Bill Gross: It's a Xanax Existence for the 99%

    Read about the investment letter from famed bond king Bill Gross for 2016. See how he says the 99% are living a Xanax existence while the 1% prosper.
RELATED FAQS
  1. When does a growth stock turn into a value opportunity?

    A growth stock turns into a value opportunity when it trades at a reasonable multiple of the company's earnings per share ... Read Full Answer >>
  2. What is arbitrage?

    Arbitrage is basically buying in one market and simultaneously selling in another, profiting from a temporary difference. ... Read Full Answer >>
  3. What is Fibonacci retracement, and where do the ratios that are used come from?

    Fibonacci retracement is a very popular tool among technical traders and is based on the key numbers identified by mathematician ... Read Full Answer >>
  4. What is a derivative?

    A derivative is a contract between two or more parties whose value is based on an agreed-upon underlying financial asset, ... Read Full Answer >>
  5. What is finance?

    "Finance" is a broad term that describes two related activities: the study of how money is managed and the actual process ... Read Full Answer >>
  6. What items are considered liquid assets?

    A liquid asset is cash on hand or an asset that can be readily converted to cash. An asset that can readily be converted ... Read Full Answer >>
COMPANIES IN THIS ARTICLE
Trading Center