Forex Weekly Outlook for February 26th, 2018
The Forex Weekly Outlook is designed to help traders remain aware of intermarket correlations of global market relationships. You can become more profitable if you know how to get ahead of the trends and understand that these relationships can potentially expand your portfolio. Utilizing the predictive indicators and intermarket relationships in VantagePoint Intermarket Software can help traders find the right trades and the right times to enter and exit those trades. Let’s look at the charts for the U.S. Dollar and the major pairs.
Forex and the U.S. Dollar
The U.S. Dollar Index is the backbone of forex trading. The bulk of the trades involves buying or selling the U.S. dollar. Understanding the movements of the individual market will greatly benefit forex traders as they will be able to better predict the movements of the pairs based on the IDX market movement.
Key levels and market movements:
The dollar is starting to recover again, but there is significant resistance coming in around the 90.45 area. A break above the 90.45 area should see some very strong US Dollar buying.
What do the indicators say?
The VantagePoint key level is at 89.67 and the VantagePoint PRSI is at 50.8.
Forex Weekly Outlook for Major Pairs
The major pairs are where most Forex traders trade the market. In the Forex Weekly Outlook we take a look at the most popular pairs analyzing price action, news events and/or risk off scenarios that could play a role in market movement, and a series of VantagePoint charts that best present information that can assist traders in determining where the market may move in the week ahead.
Euro/U.S. Dollar (EUR/USD)
Key Levels and market movement:
Traders should look to keep things simple with range trading. It’s identifiable and doesn’t appear to be changing.
What do the indicators say?
The key VantagePoint level is at 1.2324 and the PRSI is at 47.7.
British Pound/U.S. Dollar (GBP/USD)
Key Levels and market movement:
This pair is very similar to the EUR/USD pair. There are some Brexit concerns coming up this week. A lower trend line is coming in at the 1.39 area and the upside coming in at 1.41.
What do the indicators say?
The key VantagePoint level is at 1.3956 and the PRSI is at 53.4.
U.S. Dollar/Japanese Yen (USD/JPY)
Key Levels and market movement:
Nothing seems to be saving this pair. It keeps falling week after week. It doesn’t matter if the equity markets go up or down, the pair keeps moving lower. Each time it tries to break through the key VantagePoint level, it fails.
What do the indicators say?
The key VantagePoint level is at 109.22 and the PRSI is at 21.1.
The Commodities Currencies
U.S. Dollar/Canadian Dollar (USD/CAD)
Key Levels and market movement:
The USD/CAD had a good run, the VantagePoint indicators are starting to lose strength. The predictive differences are pointing lower, so we’re likely to see a corrective move.
What do the indicators say?
The key VantagePoint level is at 1.2567.
Australian Dollar/U.S. Dollar (AUD/USD)
Key Levels and market movement:
This pair is tied to gold. If gold can advance, so can this pair. So far that hasn’t happened. There is heavy support at the .7670 area.
What do the indicators say?
The key VantagePoint level is at .7883 and the PRSI is at 41.2
New Zealand Dollar/U.S. Dollar (NZD/USD)
Key Levels and market movement:
This pair is basically the same trade as AUD/USD. There is key support coming in around the .7275 area.
What do the indicators say?
The key VantagePoint level is at .7316 and the PRSI is at 49.2.
