Forex Technical Analyst Trader | Apr 12, 2015 02:57AM ET
In this article I will provide my view on the EUR/NZD, AUD/CHF and the GBP/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.
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Open/pending positions of last week EUR/NZD
This pair will be analyzed briefly, for more information read the article Weekly Review Strategy Week 13 where the pair was tipped for going short. The NZD is a stronger currency from a longer term perspective with a score of 7. The EUR remains weak with a score of 1. With a Currency score difference of 6 and the NZD better classified it is an interesting pair.
One short position was closed last week with a profit of 190 pips (1/2 Weekly ATR) and the pair continued to go down. The downtrend is still strong but with the sharp decline last week and price being around the previous bottom of March 23 at 1,4129 a technical correction may take place in the coming week. Positions will be opened on pullback or if possible it will be on the continuation of the downtrend.
Ranking and rating list Week 16
Rank: 3
Rating: ---
Total outlook: Down
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AUD/CHF
This pair will be analyzed briefly. Pending orders are placed to be opened on pullback but none opened yet. Since the pair does not look anymore as interesting as last week all the pending orders will be cancelled. The CHF is an average currency from a longer term perspective with a score of 4. The AUD remains weak but has a score of 3 this week. The pair found the downtrend again a few weeks ago but is currently consolidating as can also be noticed when looking at the Currency score difference of only 1.
Ranking and rating list Week 27
Rank: 27
Rating: =
Total outlook: Down
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Possible positions for coming week
GBP/USD
This pair will be analyzed in detail. The GBP has weakened in the last weeks but is still a strong currency from a longer term perspective. There are several combinations possible when looking at the Top 10 of the Ranking and Rating list. However, it seems best to find a counterpart currency that is also strong from a longer term perspective. These are the USD and the NZD, when looking at the Weekly chart the USD is the best counterpart currency. The pair is clearly in a downtrend and it seems to be resuming again after the short consolidation period of the last weeks. The pair broke through the last bottom of March 18 at 1,4635 but with a very small amount of pips. This will be monitored in the coming week and if downtrend resumes positions will be set to be opened at a favorable price.
Ranking and rating list Week 16
Rank: 2
Rating: - - -
Weekly Currency score: Down
Based on the currency score the pair looked interesting in the last 3 months. The USD is a strong currency from a longer term perspective and had in the last weeks a score between 6 and 8. The GBP is also a strong currency from a longer term perspective but had in the last weeks a score between 2 and 6 with exceptions towards 7 and 8. With currently a Currency Score difference of 6 it is an interesting pair for taking positions in the coming week.
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Monthly chart: Down
Weekly chart: Down
Daily chart: Down
Total outlook: Down
GBP/USD Weekly chart
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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".
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