Forex Daily Forecast, Analysis and Prediction

No matter how you look at it this pair is looking very, very heavy. Slight retracements are possible just enough to catch up with ema's.

Just as last week we find this pair propped just on the 55 ema, a very strong area of dynamic support. This pair is looking bearish to me because the 5 ema is not too far above price and the lower Bollinger Band is open and pointing down giving price permission to flow out to the down side.

On Friday we broke a price channel we the EUR/USD has been trapped to the upside and the price was touched by the daily 13 ema that caused the bulls to take profit forcing price back down.

The focus last week for markets has been on Europe but this will change in the coming week with theFederal Reserve gearing up for one of the most important FOMC meetings in along time.

With the housing data and FOMC details coming out of the USA this week, the US economy could be put on hold more or less until these statistics come out. The Canadian dollar, or Loonie as us Canucks call it, seems to have taken advantage of the situation and gained some serious ground on its southern cousin, the Greenback.

This pair finds itself caught up in between long term resistance and short term support. On the daily we have reached a 38.2 Fib to the downside overlapped with the 233 ema and the 5 ema pushing price down, yet the Stochastics is in the oversold beginning to cross up.

We start out this session within a very tight range for this pair. I have a feeling this range will soon be busted to the upside and I will expect bullish conditions for this pair.

This pair continues on its way back up. It has been confined in a bit of a price trap and began its week at the bottom and continues to head up.

This pair still looks bullish and has continued to ride the 5 ema downward but the ema's are beginning to catch up with each other and there appears to be less angle and separation between the ema's which indicates that price is slowing and the move is weakening based on the daily price action.

Last week price broke out of its trap to the down side and the past couple weeks have been bearish indeed, however, while looking at the weekly chart price has fibbed to the zone between the 38.2 and 50.0 fib levels.

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The AUD/USD has been in a bearish mode the last couple weeks, however, it appears to be consolidating a bit and I think that is due to the weekly 55 ema acting as support.

The EUR/JPY does continue to look just as bearish as ever, but after this pairs recent drop down it has been trapped in a 100 pip consolidation range.

The EUR/GBP has made its retracement back up precisely to the 61.8 Fib Level which just happens to overlap with the Daily 233 and 21 ema's and the daily 21 looks like it is setting up to cross below the daily 233.

The GBP/USD has been extremely bearish but I keep saying that a retracement is long overdue. Finally, I think the retracement is coming together.