Forex FOREX PRO WEEKLY, February 22 - 26, 2021

[Vokin]

Greetings everybody,

In general, situation stands the same, EUR keeps bullish context, at least it keeps chances to reach nearest 1.22-1.2210 target. Yesterday we've talked about two possible patterns - butterfly and "222" and EUR has formed the latter, showing AB-CD retracement on 1H chart. Still it was able to stay above our crucial 1.2220 K-support area, that meets our conditions of bullish context.
So, today we're watching for the same 1.2208 butterfly extension target around 4H 1.22 Fib resistance level as well:


On GBP, as market has hit our major XOP and weekly Agreement resistance, price is overbought at daily and weekly chart - we carefully could start consideration of bearish signs. For instance, on 1H chart we could keep an eye on first 222 "Sell" pattern. Hardly it triggers major pullback, but some downside action could happen:

Nice - in sum this can be cross trade for EUR/GBP...

 

[ajay_gandhi]

Hm, sounds a bit confusing as rising interest rates and dropping unemployment suggests bullish economy cycle. Gold should feel not comfortable with that... It's a bit contradictive statement, at least by my humble view. But I'm not a hedge fund manager


This is DiNapoli Oscillator Predictor, it shows the oversold level. It is not in the MT4 pack of indicators.
Alternatively you could use Detrended Oscillator or even Momentum

Thank you Sive. That is fantastic.

 

[ajay_gandhi]

go read this https://www.forexpeacearmy.com/forex-books

Thanks Joshnix.

 

[Sive Morten]

Morning everybody,

Yesterday was a bit special session as both of our setups are completed - EUR and GBP. Speaking on EUR market was able to reach 1.2240 major intraday target and now turns to retracement. In fact, the only one moment is important right now - whether EUR stays above 1.20 lows. In this case we could get large daily butterfly with targets above 1.24 area. This pattern comes from our DXY long-term analysis that should hit 87.30 level by our view before reversal. In this case EUR should do the same:

But to keep bullish context EUR has to stay in most recent upside swing from 1.20 lows. Only in this case the butterfly is possible. Thus, we're mostly watching for 1.2065 Fib support on 4H chart and possible 1H H&S pattern that is forming right now:

And here is our GBP startup. As we've prepared weekly report on GBP - you know what to do next: