Daily Forecast for Crosses: May 18

By @ibtimes on

EURJPY Forecast

The EURJPY had a significant bullish momentum yesterday, break above the bearish channel as you can see on my h4 chart below. This fact change my medium term outlook to a neutral zone but my short term outlook to a bullish bias especially if price able to make another clear break above 116.40 testing 116.88 even 117.58 resistance area. Immediate support at 115.40/00 area. A clear break below that area would lead us to neutral zone in nearest term as direction would become unclear but would keep my medium term bearish outlook remains strong retesting 113.49 support area.

GBPJPY  Forecast

The GBPJPY had a bullish momentum yesterday, slipped above 132.97 but closed lower at 132.41 and hit 131.76 earlier today in Asian session. My intraday plan to short around 132.97 worked very well. The bias remains neutral in nearest term as price still moving in a sideway condition. I still prefer a bearish scenario but still need a clear break below 130.20 to continue the bearish scenario. Immediate resistance remains around 132.97/133.16 and the trend line resistance area (white). A clear break above that area would be a threat to my bearish outlook, but I am still interested to open another short position around 132.97 due to a good risk –reward ratio.

AUDUSD Forecast

The AUDUSD had a bullish momentum yesterday after failed to make a break below 1.0500 support area and hit 1.0664 earlier today in Asian session. The bias is bullish in nearest term especially if price able to make another clear break above 1.0664 testing 1.0700/70 resistance area. Note that the bearish outlook since the fall from 1.1010 historical high remains intact and the current bullish pullback is normal. Aggressive intraday traders may turn on their bullish intraday mode now but I am still interested to short around the trend line resistance and 1.0770 due to a good risk – reward ratio. Immediate support at 1.0600 – 1.0570. A clear break below that area would lead us to neutral zone in nearest term testing 1.0500 but only a clear break below 1.0500 could end the current bullish phase and keep the bearish scenario remains strong targeting 1.0388 – 1.0200 support area.

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