Happy NEW YEAR! I have to start off by saying how excited I am about 2011. The first day of the year was 1/1/11 which I find to be very fitting for new beginnings. I know I have personally committed myself to making not only this next year an incredible one, but the next decade and beyond!
I will continue to post my outlook for the Forex Majors each week here at Forextradersdaily.com. I sincerely appreciate feedback and or questions about any of my posts so please do not be shy.
The first week of the New Year is starting out a bit slowly which is to be expected. It will be Wednesday before we see the markets back to “normal” levels of liquidity. Look for the markets to begin to start to stage larger moves than we have seen in the previous weeks. I expect to see overall continued choppy activity with ever increasing ranges.
EUR/USD:
This pair continues to hold trend and move higher. We have a macro bull Gartley pattern showing up on the daily charts that points to an upside target near the 1.37 level. Support lies near 1.30 so with the current market near 1.33 we have a chance for some continuation trades once liquidity returns.
GBP/USD:
This pair remains very volatile as we saw late last week. There is more upside potential than downside risk at this time so we are looking for bullish patterns to focus on this week.
USD/JPY:
This pair is showing both a micro and a macro bullish Bat pattern that points towards a move back towards the 87.00 level later this month. We are therefore looking for bullish short term patterns to buy into any major weakness.
USD/CHF:
The Swissy is building a nice looking bullish butterfly on the daily time frame and we will be looking to get long on any major weakness that we see in this pair in the week ahead.
USD/CAD:
This pair has taken out supports below Parity and is now vulnerable to further weakness next Major support lies near the .9500 handle so we will look cautiously at major weakness later in the week for possible buys but overall we are likely to sit this pair out for the week..
AUD/USD:
This pair has struggled to push through the 1.02 handle and is now likely to see a move back towards .9900. Looking to sell into any major rallies above 1.02.
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