Forex FOREX PRO WEEKLY, October 24 - 28, 2022

Morning everybody,

So, bulls are getting help from nobody expects. Foreign investors are leaving China. On the stock market we see big sell-off, yuan near the all time lows, so PBoC was have to peg it to USD. Few weeks earlier the US has initiated the legislative act that US citizens who works in micro electronic sphere in Chinese companies have to leave the country, or they could lose US citizenship. After Xi victory, it has become clear that US has lost all chances to change political and economical vector of China. Chinese economy is becoming more close, fewer and fewer statistics is available.

As Japan and China as to sell foreign reserves and supply USD to open market - this brings some relief for liquidity problems and markets come back to life across the board. EUR is not an exception as well, especially on a background of coming 0.75 rate change by ECB as well.

So, on daily chart price is breaking K-resistance area, our COP is completed yesterday. With this new background, EUR has not bad chances to reach 1.01 OP target as well. Overbought level stands higher and should not become a problem:

4H chart shows clear acceleration to OP with almost no downside reaction. This brings good chances for upside continuation to XOP target and completing of the butterfly. BTW, as XOP as butterfly extension also stands at 1.01 - agree with daily OP target:

1H chart shows that we correctly suggested just minor 3/8 pullback before upside continuation. Now once again - we suggest to consider only two nearest levels. K-support is also suitable to stop placement. Also it agrees with major 3/8 support level. If any pullback happens at all of course... No shorts by far.

Indeed, everything looks nice, etc. But the major problem with such a rallies - you never know when it will be over as it is driven by specific technical factor.
Yes, you need press "chats" then in search type "FPA". I search results there will be multiple channels, find our by our watermark. Then just click - "join".
Or just click the link that Tchurik mentioned -
Telegram should run automatically right at our channel chart. then also press "Join" on a right side of the screen (where chat stands) at the bottom.

If it doesn't help - let us know, we lead you ;)
Hi Sive and Tchurik
I think I have reached the telegram page. Does it have a green background? The last entry at the moment being Andrew with comment, "Three central banks have started interventions. Process is speeding up". Just previous is a cartoon of King Charles & Sunak - 'END GAME'
I started by clicking on the square Bar Code thing at the end of post 11. That brings up a FPA little window on a green background and I clicked on 'Preview channel'. That brought up the page I mentioned in the previous paragraph.
Please am I in the correct location or is it something else?
Sorry for being a dunce but I am doing my best.
Morning guys,

So - nothing to complain at, right? As we've mentioned yesterday on Telegram channel, SNB joins China and Japan with intervention which provided more USD liquidity and pushed it down. As a result, EUR has completed our daily target @1.01. Now there are two reasons for retracement. Technical reason you could see by yourself - strong resistance, Overbought and Agreement. It is not good idea to buy here. Second reason - today is ECB rate announcement, and short-term traders probably will start to book profit right after it:

Thus, if you would like to buy EUR - it is nothing to do by far. For scalp traders it becomes possible to consider bearish scenarios on 1H chart.

On 4H chart both our targets also have been done:

Thus, as we have "222" Sell on daily, we could suggest that at least 3/8 pullback should happen. This is around 0.9880-0.99 area. Besides, 3/8 support of the butterfly also stands around. Thus, if you would like to take short position - just wait for bearish pattern on 1H chart and hide stop above daily resistance area.


Very similar picture we have on GBP. There is no AB-CD but we have the butterfly and overbought at 5/8 Fib level as well:
Morning everybody,

So, EUR is forming clear picture, which is rarely could be seen in last weeks. As we've suggested - it is big chance of downside turn as by technical as by psychological factors, and it has started. Now EUR gives us perfect bearish engulfing pattern. It means that downside action should be deeper:

Supposedly downside action should take an AB-CD shape and minimum target stands around 2nd K-area of 0.9880-0.99 area. Depending on what Fed will do and tell on Wed, it could continue further.

Thus, bulls have nothing to do by far, while bears could consider 1.0010-1.0040 levels for position taking.