Technical outlook:
We have waited for the entire week to get this opportunity to present. The EUR/USD pair has extended beyond past 6 months resistance at 1.1430 levels now. The pair has managed to print highs at 1.1444 levels today and should be facing stiff resistance here. The most high probable trade outlook from here should be looking lower due to several factors coming in together. Last trading day of the series attracts major high/lows to form, major resistance taken out at 1.1430 levels, wave 3 completes at a higher degree as well. So immediate probability remains on the down side from here and upside remains absolutely limited. Once the immediate support trend line shown here, the acceleration shall be seen.
Trading plan:
Remain short now, stop above 1.1460, target 1.1100.
GBP/USD chart setups:
Technical outlook:
GBP/USD looks to have formed a wave (2) at a higher degree as labeled on the daily chart view here. The pair needs to stay below 1.3047 levels to confirm this scenario and that bears are ready to take over from here. One obvious probability is that the pair pushes lower towards 1.2300 and lower levels as depicted here but on the flip side, bulls do manage to take out 1.3047 levels from here, we are looking into 1.3200/3300 levels easy to act as next resistance zone. For now, till prices remain below 1.3047 levels we should be thinking to fetch opportunities to go short. Another alternative could be a meaningful retracement towards 1.2800 levels and then resume rally.
Trading plan:
Look to sell now, stop above 1.3055 levels, target 1.2800 levels.
Fundamental outlook:
Please watch out for German Unemployment numbers, Euro Zone Consumer Price Index numbers and USD Personal Expenditure numbers later today before we go into an extended holiday weekend.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com