Hello fellow readers and friends!
Don´t you feel weekends without forex are a little boring?
I am passionate about forex. Indeed if you want success in any career you have to fall in love for it and focus on it our entire life!
For this week we already have Masoud fundamental and technical perspective: http://thegeekknows.com/2013/01/masoud-eurusd-forecast-21-jan-13.html and we have The Forex Koala fundamental and technical perspective too: http://thegeekknows.com/2013/01/audusd-and-eurusd-forecast-21-jan-13.html
We saw the EUR/USD working between 1.3280 and 1.3400 last week and is not different this week. The support 1.3280 is really working good! If you are reading our forum you will notice that the readers agreed together that this area is a good support. Thanks a lot folks for coming here and writing!
And now with this information in mind let’s start our trade plan for this week. An aggressive trader with good money management should buy 1.3280 and sell 1.3400 with good and reliable candlestick confirmation. I do prefer at this point of the battle to wait for the traders to decide who shall win this struggle.
The resistance of 1.34 is indeed a very strong resistance for the bulls to conquer due to is psychological implications. In other hand, the 1.3280 level is being tested for the bears with no success. If you look to the 4 hourly charts you will notice a big spike with bullish characteristics in its shape. Hence i believe in the major trend to be bullish and I will only trade If I see a clear break out of 1.3400 and then a retracement aiming directly to 1.3486-1.3500.
A clear break out below 1.3280 shall lead us 1.3170-30.
That is it folks. Be patience and wait for a good basis to trade. Patience always pays off.