Forex Technical analysis and forecasts
One of the key factors, which has influence on any trader’s success is his ability to correctly predict the market movements. The two main methods are technical and fundamental analysis of Forex market.
An important feature of fundamental analysis is its global nature. Events, which are analyzed in fundamental analysis, have long-term influence on supply and demand on the currency market. This information is composed of the news about the world’s biggest political and financial events. It’s hard to overestimate the influenced the news has on financial markets: when the most important news is published, the market volatility increases.
It’s quite easy for an experienced trader to analyze and predict how a single event may influence the market. However, analysis of several events, which may influence the market in completely different ways, is a very complicated and time-consuming process. This may be the reason why only approximately 20% of traders use fundamental analysis as their main forecasting tool.
Fundamental approach to Forex market analysis, unlike technical one, covers not only the prices and their changes, but the reasons for these changes as well. Each approach has its followers, advantages and disadvantages.
The EUR/USD pair is still being corrected.
The USD/JPY pair has formed the Diamond pattern inside the consolidation range at the top of the ascending structure.
Although the EUR/USD pair reached its targets, it may yet try to reach the group of retracements at 1.0450.
The EUR/USD pair is forming another consolidation range close to the Triangle pattern from a longer timeframe.
The EUR/USD pair has extended the descending wave towards the downside border of the Triangle pattern from a longer timeframe.
The EUR/USD pair has broken the consolidation range downwards and may continue falling to reach 1.0620.
After rebounding from the retracement of 50% at 1.1230 quickly, the EUR/USD pair started moving downwards.
The EUR/USD pair is trading in the center of the consolidation range; it hasn’t been able to rebound from 1.0755 and start growing at once.
The EUR/USD pair rebounded from the group of local fibo-levels and is attempting to resume its descending movement.
In case of the EUR/USD pair, the local ascending correction continues.
The EUR/USD pair has reached the target of its descending wave and started forming a new ascending impulse with the target at 1.0800.
The EUR/USD pair has reached its downside target and, being under pressure, is still falling towards the next target at 1.0720.
The EUR/GBP pair is trading between the retracements of 61.8% and 78.6%.
The EUR/USD pair is still consolidating.
The EUR/USD pair continues moving downwards.