TRENDING:

GBP/USD

XAU/USD

Inside the Currency Market: EUR/USD perfect opposite targets weekly 0.9657

Brian Twomey Brian's Investment

As reported Friday, FX begins and will end the week as the exact same as last week. NZD/USD and AUD/USD starts the week deeply oversold. NZD and AUD cross pairs trade in compliance to oversold NZD/USD and AUD/USD. Weekly NZD/USD targets 0.5744 on a break of 0.5699.

AUD/USD and NZD/USD long assistance is derived from deeply overbought EUR/NZD, GBP/NZD and EUR/AUD. Best profit trades for the week for 200 pips each are EUR/NZD, GBP/NZD and EUR/AUD. GBP/AUD will follow but caution to 1.7288 as further shorts are dependent on a break lower. All contain a short only strategy for the week.

EUR/USD and GBP/USD begins the week in neutrality and the same neutral story as last week. Neutral references the price location. Price location is determined by averages. Averages are dependent to averages moving higher or lower in relation to the traded price.

An expansion or contraction to averages determines the range of prices. An expansion to averages means the price remains in the same location under wider ranges while a contraction refers to trades to break ranges yet trade in a higher or lower location.

EUR/USD began last week at 147 pip range. The actual range traded 274 pips from 0.9999 to 0.9725 or 2 X 147. EUR/USD long and short profits last week 319 pips. Overall profit achieved higher than the actual range which means every traded pip was profit but also, EUR/USD required a range break to achieve targets.

EUR/USD 2 weeks ago and 319 pip range to 148 pip profit as ranges expanded to miss extra profit pips above and slight miss to entry below.

Overall ranges decide questions to neutral, oversold and overbought.

DXY Vs EURUSD

DXY Monday targets 113.12 and 113.53 for the week. Targets higher for future weeks is derived from counting 70 pips from 113.53 as 114.23, 114.93, and 115.63.

EUR/USD as DXY perfect opposite targets weekly 0.9657. Lower targets for future weeks is derived by counting every 69 pips from 0.9657 as 0.9588, 0.9520 and 0.9451.

DXY at the 112.75 weekly open trades 1600 pips above the 50 year average at 96.00 while EUR/USD trades 1600 pips below the 5 year average at 1.1400's.

DXY economic news will eventually trade against rate rises and DXY will drop. As perfect opposite EUR/USD and Europe economic news will strengthen and EUR/USD will rise. Currently, both Europe and the United States run trade deficits at -42 billion and -62 billion.

EUR/USD weekly trade

EUR/USD range this week trades 142 pips from 0.9758 to 0.9616.

Long 0.9687 and 0.9678 to target 0.9829. Short 0.9829 to target 0.9758. The long trade proposes 151 pips from 0.9678.

Short 0.9829 to target 0.9758 or 71 downside pips for a total 222 pips on a possible 284 pip range.

EUR cross pairs

EUR/CHF holds support to EUR/USD and EUR/CHF at 0.9602 while 1.3350 decides EUR/CAD.

USD/JPY and JPY Cross Pairs

USD/JPY trades overbought this week and ranges from 145 to 147.00's. JPY Cross Pairs trade oversold and NZD/JPY leads the way higher. GBP/JPY breaks 161.64 then higher goes JPY cross pairs. Least favored is CAD/JPY.

Trade rankings

EUR/USD, AUD/USD, EUR/AUD, NZD/USD, NZD/JPY, USD/CAD, EUR/NZD, AUD/CHF, NZD/CHF, CAD/CHF, USD/JPY, AUD/JPY, EUR/JPY, CAD/JPY, EUR/CAD.

Best trades this week: EUR/USD, AUD/USD, EUR/AUD, NZD/USD, NZD/JPY, USD/CAD, EUR/NZD, AUD/CHF, NZD/CHF, CAD/CHF.

GBP trade rankings

GBP/NZD, GBP/USD, GBP/AUD, GBP/JPY, GBP/CHF, GBP/CAD.

USD/CAD and USD/CHF trade severely overbought while USD/JPY trades within the confines of DXY.

Author

Brian Twomey

Brian's Investment

Brian Twomey is an independent trader and a prolific writer on trading, having authored over sixty articles in Technical Analysis of Stocks & Commodities and Investopedia.

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

Editor's Picks

EUR/USD holds steady below 1.1800

EUR/USD moves sideways in a narrow channel below 1.1800 as the market volatility remains low ahead of the New Year holiday. On Tuesday, investors will pay close attention to the minutes of the Federal Reserve's December policy meeting.

GBP/USD retreats below 1.3500 as trading conditions remain thin

GBP/USD corrects lower after posting strong gains in the previous week and trades below 1.3500 on Monday. With the action in financial markets turning subdued following the Christmas holiday, however, the pair's losses remain limited.

Gold holds above $4,300 after profit taking kicked in

Gold retreats sharply from the record-peak it set at $4,550 and trades below $4,400, losing more than 3% on the day. Growing optimism about a Ukraine-Russia peace agreement and profit-taking ahead of the New Year holiday seem to be causing XAU/USD to stay under heavy bearish pressure.

Bitcoin, Ethereum, and XRP bulls regain strength

Bitcoin, Ethereum, and Ripple record roughly 3% gains on Monday, regaining strength mid-holiday season. Despite thin liquidity in the holiday season, BTC and major altcoins are regaining strength as US President Donald Trump pushes peace talks between Russia and Ukraine. The technical outlook for Bitcoin, Ethereum, and Ripple gradually shifts bullish as selling pressure wanes.

Economic outlook 2026-2027 in advanced countries: Solidity test

After a year marked by global economic resilience and ending on a note of optimism, 2026 looks promising and could be a year of solid economic performance. In our baseline scenario, we expect most of the supportive factors at work in 2025 to continue to play a role in 2026.

Crypto market outlook for 2026

Year 2025 was volatile, as crypto often is. Among positive catalysts were favourable regulatory changes in the U.S., rise of Digital Asset Treasuries (DAT), adoption of AI and tokenization of Real-World-Assets (RWA).