Daily Forecast for Crosses: January 24

By @ibtimes on

EURJPY Forecast

The EURJPY continued its bullish momentum on Friday and traded around 112.50 at the time I wrote this comment. The bias remains bullish in nearest term still targeting 113.00 before testing 114.90. As you can see on my h4 chart below, 133.00 is the nearest bullish target but at the same time could be a good intermediate resistance where some selling interests could be seen. Waiting for a minor bearish correction near 111.60 before jump into the market with long position seems to be a good idea due to a good risk-reward ratio (reducing risk) with stop loss below 111.60.

GBPJPY  Forecast

The GBPJPY was volatile but indecisive on Friday. The bias is neutral in nearest term but still within the context of a bullish outlook. There are no changes in my daily technical outlook and strategies: Aggressive traders can long around 130.40 with stop loss below 129.30 targeting 133.00, while conservative traders can long around 129.30 with smaller stop loss and same target at 133.00. Be patient and always keep in mind that technical direction/bias is not enough to make trading decision. We need to have a good risk-reward ratio. On h4 chart below, watch out for a potential double top formation scenario that could be a threat to the current bullish outlook, so make sure to cut your losses without any hesitation especially if you have a long position far enough from 130.40 support area.

AUDUSD Forecast

The AUDUSD was corrected higher on Friday and so far the 0.9800 support area still hold preventing further bearish pressure. The bias is neutral in nearest term as price still trapped in range area of 1.0020 – 0.9800. We need a clear break on either side to see clearer direction and further technical bias and scenarios as you can see on my h4 chart below. I still prefer a bearish scenario at this phase as apart of potential big downside correction after hit all time high but would need a clear break below 0.9800 to re-activate my bearish mode. On the upside, a clear break above 1.0020 – 1.0075 could trigger further upside pressure re-testing 1.0182 – 1.0256 historical high even making new historical highs.

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