4 Trading Opportunities - Sunday Forex Analysis

Colibri Trader Colibri Trader

#1 EURUSD 4 Hour Chart

In the first of the 4 trading opportunities, I am looking at the EURUSD. Since, I do not like to make guesses, I will be waiting for this pair to reach the level of 1.0850. This is a major level of resistance. Once the price reaches that level, I will be looking for a sign from the Daily chart. If I have a confirmation from price action, I will act upon it. Let’s have a look at the chart below:

#2 AUDUSD 4 Hour Chart

The second trading opportunity that I will be looking for is another potential short sale on AUDUSD. Seems to me that the price might bounce back from the major resistance area at 0.7740. I will be looking for a daily candlestick confirmation before acting on it. Alternative (and very feasible) scenario is a breakout. If the daily price action is confirming the case for a breakout, I might wait for a retracement back to this level to go long. Let’s have a look at the screenshot below to visualise better these two scenarios:

#3 USDJPY 4 Hour Chart

In the third trading opportunity, I will be looking for a possible reversal. Once the price reaches the 112.00 level, I will be looking for price action confirmation. If I see a bullish candle around this level, I will be looking to go long. Alternatively, it could be a breakout, which should again be confirmed with a price action setup. I have been short (as many of you might have followed) since a few days already. The first target was reached and we might see the second one be breached, top. For the ones of you who have not read that post.

#4 GBPJPY 4 Hour Chart

In the chart below, you can see the 4 Hour price action of GBPJPY. I have been short for a few days already. If you have not read the post yet. You can check the following article, which is quite educational too- Two trades that worked out amazingly well.

What I am looking in this chart below is for the price to approach the support level. On the daily chart, I will be searching for a candlestick confirmation to go long. If there is no such price action confirmation, I will just let this trade run.

Author

Colibri Trader

Colibri Trader, as he is known in the circles, is based in London, UK. He Started his career in one of the leading prop trading houses at the time and then has moved out to form his own company- Colibri Trader Limited.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.