I hope that you guys have a good trading week so far.
In this post, I am going to share with you my analysis on the EURUSD and GBPUSD for this coming week.
For the whole of the week, the price is being supported and resisted by the 100 and 200 EMA on the Daily chart which means that the price is now moving sideway for the GBPUSD.
There are pros and cons for this situation now on the GBPUSD.
Cons: If we attempt to trade the trend or plan to take big target profits for this pair, you will see that we will get a lot of breakeven trades or even losing trades due to the sideway movement. Therefore we have to really monitor the trade personally when it is moving so that we can exit it if it is not right
Pros: Usually for such situation, when the price manages to break out of the sideway movement, it will move by a lot which means that we can get big profits from the trades
Some of you may be thinking that we just enter the trade when the price breaks the sideway movement and we will be able to make a lot of money. But the problem with such breakout is that most of them will eventually failed and the price move back to the sideway channel again.
On friday, we manage to get a 35 pips profits from the GBPUSD and shortly after we exit it, the price pushed up 60 pips to test the resistance again
Therefore you need to have a good strategy to be able to eliminate most of the failed breakout.
I will let you guys know once I enter a trade for this pair
For the EURUSD, we can see that the price has been working hard to move up but it is being resisted by a strong resistance level when the market closed on Friday.
Below is the picture taken from the 4 Hourly chart
For this pair, I will look to trade the range first and will only trade the trend when it manages to produce a valid breakthrough.
If you are interested in my trade copier service, you can take a look at the link below