The EURUSD started developing a new major downtrend recently, as per our earlier projections. By the end of last week, however, the price corrected some of the losses by retracing up north. Seeing as to how the underlying price action still appears to be entailing ostensibly bearish bias, this could create some interesting trading opportunities.
This week looks poised to be quite uneventful due to the fact that there are only a few economic releases scheduled to occur over the next five days, which implies a likely subdued price action for all major pairs. This assertion stems from the expectations for low trading activity because of the lack of potentially significant market drivers this week, resulting in low liquidity levels.
This environment is unlikely to incite any significant changes to the underlying direction of major assets such as the EURUSD, which is why last week's bullish pullback is not expected to transition into a new uptrend. In other words, the development of the aforementioned downtrend is likely to be continued this week. Hence, traders could look for an opportunity to use trend-continuation strategies on the expectations for further probing of the pair down south.
|Short Term||Long Term||Net % Gains|
|0||0||166 PIPS||29 PIPS||
|166 PIPS||29 PIPS|
|Net % Gains|
Disclaimer: Your capital is at risk! Trading and investing on the financial markets carries a significant risk of loss. Each material, shown on this website, is provided for educational purposes only. A perfect, 100% accurate method of analysis does not exist. If you make a decision to trade or invest, based on the information from this website, you will be doing it at your own risk. Under no circumstances is Trendsharks responsible for any capital losses or damages you might suffer, while using the company’s products and services. For more information read our Terms & Conditions and Risk Disclaimer.