Currency markets this week are defined as severely oversold USD and massive overbought non USD as EUR, GBP, AUD and NZD. Oversold USD begins with USD/JPY and USD/CHF. USD/CAD range trades this week and travels higher along with USD but lacks any conception to oversold or overbought.

As written to EM targets on these pages since 2015, USD oversold applies to USD/ EM currencies as USD/BRL, USD/DKK, USD/HUF, USD/RON, USD/PHP, USD/SGD, USD/THB, USD/ZAR.

EM trades week to week are highly selective as uniformity rarely exists unless an overall big move was seen in markets such as USD Inflation. Note missing from the list are favored trades as USD/CZK and USD/PLN.

Absent Currencies as USD/MXN, USD/ INR, USD/SEK,  USD/ NOK, USD/PLN  share an equal oversold reading with EUR counterparts as EUR/MXN, EUR/INR, EUR/SEK, EUR/NOK. EUR/PLN. No trade exists for all currencies because all lack a direction.

Most vital is USD trades oversold across the board and most informative is oversold from low range currencies as USD/PHP, USD/SGD and USD/THB. All rarely trade deeply oversold or overbought but rather trade normal dead ranges.

The week

Trades this week are one way as short EUR and long USD. A significant average break is not seen this week as the purpose of the week is to relieve oversold and overbought conditions. GBP/USD for example is safe above 1.2368, AUD/USD 0.6446 while USD/JPY is long from oversold 148.14.

EUR/USD and EUR cross pairs begin the week overbought with the exception of EUR/AUD. EUR/USD big break for lower is located at 1.0867 to place EUR/USD in a 122 pip range from 1.0867 to 1.0745. Above, EUR/USD meets a big line at 1.0976.

The EUR/USD move lower is a correction to relieve current overbought status. EUR/USD longs are safe above 1.0745, 1.0678, 1.0648 and 1.0645. Lower averages will continue rising alongside a higher EUR/USD price.

Best trades for the week are JPY cross pairs beginning with GBP/JPY,  EUR/JPY and AUD/JPY.  CHF/JPY also begins the week overbought. Lower for CAD/JPY must break 108.43 and NZD/JPY 88.39.

Next best weekly trades are GBP/CAD, EUR/CAD, AUD/CAD and NZD/CAD as overbought exists across the board. GBP/CAD targets easily 1.6968, EUR/CAD 1.4789, AUD/CAD 0.8879 and NZD/CAD 0.8176.

EUR/NZD and AUD/NZD trade overbought while GBP/NZD trades to 2.0670 on a break at 2.0721. AUD/NZD remains a severely problem currency pairs and is not recommended as a trade.

GBP/USD and GBP cross pairs trade fairly neutral to overbought. Best trades are GBP/JPY and GBP/CAD while GBP/USD targets 1.2393 then the resolution of 1.2368.

GBP/USD trades from 1.2551 to 1.2368. GBP/USD's overall bottom is located at 1.2298.

GBP/JPY targets back to 184.00's and EUR/JPY tragets 162.00's and 161.00's.

USD/CHF trades deeply oversold while CAD/CHF is the only CHF cross pair to qualify as oversold.

USD/JPY requires  a break at 148.14 to target 146.07, 138.01, 133.26 and 129.72. For the week, USD/JPY targets 148.97.

USD/CAD same old story, up, down and stuck in the middle without price progress. WTI dropped straight down from 82 to 74 over the past 6 weeks and USD/CAD roamed around without purpose. OIL and USD/CAD correlations doesn't work.

Trading currencies and other financial instruments carries a degree of loss and possible loss of entire investments. Please managed your own risks, stop loss, and margins requirements.

Recommended Content


Recommended Content

Editors’ Picks

AUD/USD remains under pressure above 0.6400

AUD/USD remains under pressure above 0.6400

AUD/USD managed to regain some composure and rebounded markedly from Tuesday’s YTD lows in the sub-0.6400 region ahead of the release of the Australian labour market report on Thursday.

AUD/USD News

EUR/USD holds above 1.0650 amid renewed selling pressure in US Dollar

EUR/USD holds above 1.0650 amid renewed selling pressure in US Dollar

The EUR/USD pair edges higher to 1.0672 on Thursday during the early Asian session. The recovery of that major pair is bolstered by renewed selling pressure in the US Dollar and a risk-friendly environment.

EUR/USD News

Gold retreats as lower US yields offset the impact of hawkish Powell speech

Gold retreats as lower US yields offset the impact of hawkish Powell speech

Gold prices retreated from close to weekly highs during the North American session on Wednesday amid an improvement in risk appetite. The bullish impulse arrived despite hawkish commentary by US Federal Reserve officials. 

Gold News

OMNI post nearly 50% loss after airdrop and exchange listing

OMNI post nearly 50% loss after airdrop and exchange listing

Omni network lost nearly 50% of its value on Wednesday after investors dumped the token following its listing on top crypto exchanges. A potential reason for the crash may be due to the wider crypto market slump.

Read more

Australia unemployment rate expected to rise back to 3.9% in March as February boost fades

Australia unemployment rate expected to rise back to 3.9% in March as February boost fades

Australia will publish its monthly employment report first thing Thursday. The Australian Bureau of Statistics is expected to announce the country added measly 7.2K new positions in March after the outstanding 116.5K jobs created in February.

Read more

Majors

Cryptocurrencies

Signatures