Hey everyone! Welcome to this week’s forex forecast for the week ending July 2nd, 2021. I’m TraderBart with A1 Trading, and this week I’ll be looking at NZDCHF, EURCHF, GBPAUD & XAUUSD.
Price is staying just below the channel’s top at 0.648 and is already showing some rejection to this zone. We could likely see a channel continuation, and price could head towards the bottom. However, look out for price action confirmations before taking any positions. If we see price break the previous day’s low at 0.645, we could likely see price head lower. If we see price continue to range at this level without breaking the low, we could see price break the channel and complete the bullish flag pattern.
Similarly to nzdchf, price is also below the channel’s top at 1.096, showing rejection to the upside. We’ve got a level of potential support at 1.093 which we can see has been broken recently. If this same level gets broken once again, we will likely see price continue the channel and head towards the bottom. If we do see price head higher and break the channel, look out for a retracement of the channel’s top before going long to catch the bullish flag pattern.
Price is now back at the bullish breaker block (previous bearish order block), which I have been pointing out and is now looking like a possible good zone to go long off. Price could head towards the 50% level before reversing, however, if we see price slow down and not break this zone, it is likely we will see this move happen.
Price is forming a triangle pattern just above the 1765 key horizontal level. We could likely see retailers going long; however, I expect banks to take out their stop losses and head towards the bullish order block at 1740 before reversing. This level is where most banks are placing their orders, only after retailers are taken out, and the majority’s bias switches to short.