Get our buying and selling methods with our month-to-month & weekly forecasts of foreign money pairs price watching utilizing assist & resistance for the week of February 1, 2021.
This week we’ll start with our month-to-month and weekly forecasts of the currency pairs price watching. The primary a part of our forecast relies upon our analysis of the previous 18 years of Foreign exchange costs, which present that the next methodologies have all produced worthwhile outcomes:
Allow us to take a look at the related information of foreign money worth modifications and rates of interest so far, which we compiled utilizing a trade-weighted index of the key world currencies:
Month-to-month Forecast February 2021
For the month of January, we forecasted that the EUR/USD foreign money pair can be more likely to rise in worth. The ultimate efficiency is proven within the desk beneath:
For the month of February, we forecast that the USD/JPY foreign money pair can be more likely to rise in worth following a every day shut above 105.00.
Weekly Forecast 31st January 2021
Final week, we made no weekly forecast, as there have been no unusually sturdy counter-trend worth actions in Forex over the earlier week.
This week, we once more make no forecast, as there have been no sturdy counter-trend actions in Forex by any means.
Forex confirmed a comparatively low stage of volatility in comparison with the earlier week, with solely 4% of the essential foreign money pairs and crosses transferring by greater than 1% in worth final week. Volatility is more likely to enhance over the approaching week.
Final week was dominated by relative energy within the New Zealand greenback, and relative weak spot within the Japanese yen.
You may commerce our forecasts in a real or demo Forex brokerage account.
Earlier Month-to-month Forecasts
You may view the outcomes of our earlier month-to-month forecasts here.
Key Help/Resistance Ranges for Standard Pairs
We train that trades needs to be entered and exited at or very near key assist and resistance ranges. There are particular key support and resistance levels that may be watched on the extra standard foreign money pairs this week.
Allow us to see how buying and selling reversals from two of final week’s key ranges would have labored out:
GBP/USD
We had anticipated the extent at 1.3759 may act as resistance, because it had acted beforehand as each assist and resistance. Observe how these “flipping” levels can work well. The H1 chart beneath exhibits how the value rejected this stage with a bearish engulfing candlestick construction proper firstly of final Wednesday’s London session, marked by the down arrow within the worth chart beneath, which is often a ret time to be buying and selling foreign money pairs of crosses equivalent to this one which embrace the British Pound. This commerce has been very worthwhile, attaining a most optimistic reward to risk ratio of virtually 4 to 1 thus far primarily based upon the dimensions of the entry candlestick construction.
EUR/USD
We had anticipated the extent at 1.2060 may act as assist, because it had acted beforehand as each assist and resistance. Observe how these “flipping” ranges can work effectively. The H1 chart beneath exhibits how the value rejected this stage with a bullish inside candlestick construction throughout final Wednesday’s London/New York session overlap, marked by the up arrow within the worth chart beneath, which is often a superb time to be buying and selling main foreign money pairs equivalent to this one. This commerce has been worthwhile thus far, attaining a most optimistic reward to threat ratio of a bit greater than 1 to 1 primarily based upon the dimensions of the entry candlestick construction.
That’s all for this week. You may commerce our forecasts in a real or demo Forex brokerage account to check the methods and strengthen your self-confidence earlier than investing actual funds.
