General analysis about forex market: 7th November -11th November

EURUSD technical analysis

There has been a decent bullish correction in the EURUSD pair last week after hitting the minor support level at 1.08526. The pair has corrected for more than 250 + pips after the breakout of the triangle chart pattern in the daily chart. Last week the price closed just near the 100 days daily SMA. This level is going to provide a significant amount of selling pressure to the pair since the broken bullish trend line resistance also lies at 1.11460 level. In the eyes of trained professional, the pair has to create enough buying pressure before it breaches the 100 and 200 days SMA. The critical dynamic resistance of the 200 day SMA is at 1.11707 level. This level also coincides with 61.8% Fibonacci retracement level drawn from the high of 19th August 2016 to the low of 26th October 2016.However, if the critical resistance level at 1.11460 level fails to restrict the bullish move of the pair then we will see a strong bullish rally in the EURUSD pair targeting the next critical resistance level at 1.13615.A valid break of that level will lead this pair towards the key resistance level at 1.116120 level. Though there has been a strong bullish rally in the EURUSD pair in the last week but according to the trained professional, there is too much resistance for the further strong bullish move. Considering all the parameters the overall bias remains bearish in the EURUSD pair. The first bearish target for the EURUSD pair would be the critical support level at 1.08506.

GBPUSD technical analysis

The Great Britain Pound has overcome a massive critical resistance level at 1.23380 in the last week. The market sentiment was strongly bearish on the GBPUSD pair but with a bullish break of that critical resistance level, the market sentiment is turned into bullish. In the upcoming week, professional traders will be looking to buy after minor retracement towards the first critical support level at 1.23380 (Previous resistance) .Due to the presidential election on 8th November there might be a false spike in the GBPUSD pair and hence traders are advised to use bullish price action confirmation signal before going long in this pair. The first bullish target for this pair would the critical resistance level at 1.27932.This level is going to provide the significant amount of selling pressure to the GBPUSD pair sinceĀ  the 100 day SMA also lies just above that level. If the pair manages to breach that level then we will see a test of the 100 days daily SMA near 1.3000 marks. After the Brexit event trading, the Great Britain Pound has become a little bit difficult due to its extreme level of volatility. Professional traders will be waiting cautiously for the price to form nice bullish price action confirmation signal near the critical support level so that they enter their trade with good risk reward ratio. Considering all the parameters the overall sentiment remains bullish in the GBPUSD pair but the long order should be executed once the market retrace back towards the critical support zone at 1.23500 level.

USDCHF technical analysis

There has been a failed bullish pin bar formation on the daily chart in the USDCHF pair. The signal was highly reliable since it formed right near the trend line support zone at 0.97107.This level also coincides with 61.8 % retracement level drawn from the low of 18th August 2016 to the high of 24th October 2010.Since the pair has broken critical support level at 0.97107, the market sentiment has changed into bearish for the upcoming week. Professional traders are looking for a minor retracement in the price towards the critical resistance level at 0.97107 to sell this pair bearish price action confirmation signal in shorter time frame. However, the pair might retest the critical resistance level at 0.97698 level. This level is going to provide a significant amount of selling pressure to USDCHF pair since the medium term bearish trend line in the USDCHF pair also inclines with that critical resistance level. However if the pair manages to breach that critical resistance level then we will see a strong bullish rally in the USDCHF pair towards the next critical resistance level at 0.98440.Considering all the technical and fundamental factors the over bias remains bearish for the USDCHF pair for the upcoming week. Professional price action traders will be looking to sell this pair near the critical resistance level at 0.97713 with bearish price action confirmation signal. The first bearish target for this pair would the critical support level at 0.95365.

USDCAD technical analysis

The USDCAD pair has formed nice ascending channel structure on the daily chart. Currently, price is trading near the ascending channel resistance level at 1.34005.In order to exhibit strong bullish move, the pair needs to overcome the channel top resistance level. A valid break of the channel resistance will lead this pair towards the next critical resistance level at 1.36272.This level is going to provide strong selling pressure to USDCAD pair since the price has respected this level in the past frequently. Last week, a bearish pin bar is formed on the daily chart of the USDCAD pair near the channel resistance level. If the upcoming week starts with a bearish candle then we will be selling this pair setting the stop loss just above the pin bar tail at 1.34745 level. The first bearish target for this pair would the critical support level at 1.31209.This level is going to provide a significant amount of support to the USDCAD pair since the daily 200 day SMA support also lies at that point. Considering all the parameters we will be selling this pair with bearish pin bar confirmation in the daily chart near the channel top resistance.