Thoughts About Forex Market

Hello,
Previous week EurJpy did not manage go through 123.00-123.44 support. As we see in the picture, it touched the lower trend-line and bounced for 300 pips up on Friday. This means, that the bulls are serious about taking the market. Maybe Head and Shoulders didn't fail?...  So I see some scenarios. Price reach 127.90 resistance level, break it and continues toward 130.00 price level. Or price reach 127.90 resistance, stop and turns back, forming triple top pattern, and if this pattern break the lower trendline, price continues falling to 120.00. But if it bounces from the rising support level at 125.00, then it will be a formation of ascending triangle, which may continue bullish market.

This week in EurUsd pair was quite trendy. It found its new support at 1.3202 and like the EurJpy pair it bounced from support up for about 200 pips on Friday. In EurUsd we see formed triple bottom pattern. It is in divergence with price level, which was in the middle of February, when MACD indicator had lower meaning than today. So there is a big possibility, that the price will head towards 1.36 level, break it and go to 1.38 or even higher levels. Bulls can take control. But failing at 1.36 will continue the bearish market.

Last week price in EurJpy pair failed to break resistance level at 127.90. So I think that  the Head and Shoulders pattern failed. It may be due to improving economic indicators in US and  deteriorating economic situation in Euro-zone due Greece problems. For now if the price will not break through 123.44 support (red dashed line) it may continue going up towards 129.00-130.00 price level and forming a Flag pattern. Otherwise, breaking support at 123.44 will continue with a bearish market towards 120.00.

In EurUsd price did break through the descending trendline, but did not manage go to level 1.38. It may failed due same reason as EurJpy pair failed. For the next week, breaking through descending trendline may start a formation of descending triangle (if the support at 1.326-1.333 level will hold the bears), which indicates continuing bearish market. Otherwise it may find its new resistance at 1.36, and breaking this level may continue price movement towards 1.38.

Hello,
In the EurJpy pair we see a formed Head & Shoulders pattern, rising indicator MACD proves that. Price had a correction to check its new support level at ~124.00. It's almost at the patterns neckline. If the price breaks through 127.90 resistance it may go to 130.00. On the other hand there is a possibility that Head & Shoulders pattern will fail. And if price breaks down through ascending support level, we should look for new support at price level around 121.00.

In EurUsd we see a forming double bottom pattern with bullish divergence with MACD.  That means that if price breaks through the trend-line (it most likely will happen) the price may rise to 1.38 or even greater levels. But if all of this fails, we get a descending triangle and the bearish market will continue towards 1.30.

Thank you for reading and remember - everything is just my opinion. :)