Forex Teach

<GBPUSD> <EURJPY> <Economic Calendar for the week>

In the past week, the Forex market has given us a welcome growth in the euro / dollar. Upon reaching the level of resistance in the 1.4635 growth stopped, but contrary to expectations, a strong correction was not held. This means that the correction due to profit-taking may occur at the beginning of the coming week, probably on Monday, because of the publication of economic forecasts of the European Commission and Yellen speech in San Francisco on the economic outlook. The expected correction would lower the price to the support line or to the level of Fibonacci retracement of 38.2%.

At the same time the likelihood of further growth remains. In this case we recommend to refrain from buying until until the market consolidates above 1.4700. I want to note that this is not a touch of this level of price fixing and above it. The fact that this week reached 1.4632 mark is in the immediate vicinity of the correction level 61.8% Fibonacci retracement of the fall of last year. This means that in this area struggle between bulls and bears will be tightening, and there is a high probability of false breakouts. Therefore, you should refrain from buying until the break is confirmed.