Daily Forecast for Crosses: March 08

By @ibtimes on

EURJPY Forecast

The EURJPY made another indecisive movement yesterday, formed another Doji on daily chart. The bias remains neutral in nearest term and there are no changes in my daily outlook and as long as price stays above 114.00 I prefer a bullish scenario at this phase with the nearest bullish target around 116.35 (50% Fibo retracement of 127.88 – 105.42).  I am also still interested to buy around 114.00 as I see a good technical set up and risk – reward ratio there.

GBPJPY  Forecast

The GBPJPY continued its bearish momentum yesterday, bottomed at 132.90 and traded around 133.20 at the time I wrote this comment. The bias remains bearish in nearest term but note that overall price is still move in a sideways mode without clear direction in the last two weeks. However, as you can see on my h4 chart below, price still moves inside a bullish channel which is actually suggests more upside bias. Aggressive intraday traders can long around 132.50 with stop loss below 131.75 while conservative traders can long around 131.75 (the lower line of the bullish channel) with smaller stop loss. On the upside, a clear break above 134.20 would change the intraday bias to bullish retesting 135.50 key resistance area.

AUDUSD Forecast

The AUDUSD still show insignificant movement yesterday. There are no changes in my daily outlook, where the major bullish scenario remains intact with potential downside correction indicated by the rising wedge formation. We are in a critical phase here and although the major technical bias remains bullish, short position around the all time high 1.0256 is acceptable for me due to a very good risk – reward ratio. Immediate support remains at 1.0030/50 and the lower line of the rising wedge formation which could be a key support area at this phase. A clear break below the rising wedge formation would open the door for further bearish correction at least testing 0.9942 even much lower.

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