Besides the correction, we can see a downside trend which has been broken and a support area (blue rectangle) which price held quiet well. It is very likely to see the price reach new highs very soon if it stays above the support area.
Once the price has broken the trend line we might see a correction of his movement.
However, before it starts drop it might retest once again the trend line to fall at least 80-90 pips.
A while back, we published an analysis on EURHUF in which we were presenting a possible bearish scenario on the Hungarian Forint, a scenario that since that moment has been confirmed.
Last week we were signaling possibly interesting scenarios on the Hungarian Forint, with price being at a key level (310) at the time.
On the background of yesterday's mentioned mid-term scenario, the market is now offering a short-term setup with great potential in terms of risk/reward. The key level is 310, where the bears could take control and drive the pair back lower into the 308-308.20 area. Stops for this setup start right above 310.60.
On the other hand, a break of 310.60 should lead the pair up to
312.80 and then 316.50, as the breakout mentioned yesterday will
be confirmed as a false breakout.
Since the beginning of 2014, with the rare exceptions of some brief spikes,
the Hungarian currency has ranged between 295 and 320 HUF per Euro.
Compared to the steady drop of the Forint of 2008-2009, the recent 3
year-period 2014-2016 can be considered one of relative stability. HUF is
technically still in a bearish uptrend compared to the EUR and USD, however
there are signs that a possible correction could be showing its first
The EURUSD pair is probably about to break from the tight 150pips range
where it was stuck for exactly 1month. As the market players are setting up for
a new large move, we have 2 swing setups that may be helpful for
What about you? Where do you see the EURUSD pair going next?
Yesterday we published a short-term bullish scenario for the USDJPY pair , which worked perfectly in spite of the broad bearish sentiment on the JPY pairs. This goes to show that even in bearish trends short-term opportunities could prove very lucrative if proper risk management rules are respected.
Today we go back to the same scenario chart, with an update:
Yesterday we had a look at the swing scenarios for USDJPY and we signaled a moment of high volatility moment in the market, a situation likely to create great bullish and bearish opportunities for traders after the BoJ Interest Rate decision.
After last night's fundamentally-based moves, USDJPY is now at a turning point, with interesting scenarios shaping up for bulls and bears alike.
Because of price playing around key daily levels with potential of strong moves either way, today's opportunities seem particularly interesting for swing traders. But short-term traders could also find great areas to buy and sell on intraday moves.
|remaining time till the new event being published|
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