Weekly Forecast Analysis March 28th – April 2nd
29 March 2021
The pair broken above the falling resistance \ trend line and holding a strong momentum upside since then. No signs of ending hint that the pair might try and continue its rally towards the next swing highs.
Daily time frame provides clean higher highs and higher lows structure, proving that the buyers are the ones in control. The 200 moving averages is trending in a bullish trend as well and the bullish hidden divergence found on the MACD hints on further rallies.
On the H4 chart, after the two waves correction which ended with a bullish divergence, we can see the buyers trying to take the control again with the price breaking above the falling resistance line and the most recent high.
The price has also gained momentum by creating three higher highs, higher lows indicating that the buyers in control again. We believe that while the invalidation zone (86.30-86.80) holds the bullish view is on.
We expect to see the price continue its correction upside towards 50% Fibonacci level of the weekly downtrend.
On the Daily time frame we can see the buyers maintaining their control by creating higher highs and higher lows. The bullish hidden divergence found on the MACD is another bullish sign and we expect further rallies on this instrument.
On the H4 timeframe the price broke above the falling resistance line and is holding above it which is a good sign favouring the bulls. While the price holds above the rising trend line ( our invalidation plan), we expect to see further bullish moves.
After an impressive rally to the upside, the price got rejected on a key resistance zone on the weekly timeframe. Followed by three following candles creating lower highs, lower lows, we see these as signs of a potential bearish correction to the downside.
Daily has created higher highs followed by lower lows which is a potential reversal pattern and is supporting the bearish view. The MACD histogram also shows lower lows and support the bearish view. As long as the price holds below the invalidation zone 62-.50-63.8 we expect to see another move down.
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