Forex Price Action Forecast [2024.08.02]: Key Levels and Market Trends for EURUSD, GBPUSD, USDJPY, AUDUSD, USDCAD, USDCHF, NZDUSD

Hi, welcome to xlearn’s daily forex market analysis for day traders. This analysis focuses on price action trading.

Before we jump into the actual analysis, let’s take a look at the major economic events that could affect the market.

Key Economic Events Today

These events encompass important global news, macroeconomic reports, and economic indicators. For more details, you can check the forex factory.

• 8:30 ET: The US Unemployment Rate is being released. This rate shows the percentage of the workforce that is unemployed and actively looking for work. The previous and forecasted rate is 4.1%. If the actual rate is lower than the forecast, it is good for the currency. Although it’s a lagging indicator, the number of unemployed people is a key sign of economic health because consumer spending is closely linked to job market conditions. Unemployment is also a major factor for those making decisions about the country’s monetary policy.

Forex Price Action Analysis

EURUSD:

Looking at EURUSD, it is trending down. Right now, the price is consolidating around the support level of 1.07800. If the price breaks below this support, which is likely since the overall trend is bearish, we can expect it to continue dropping to 1.06800 for a pullback or reversal. On the other hand, if the price starts to go back up from the support and breaks above the resistance around 1.08600, then the trend might change, and we can expect the price to continue rising.

USDCAD:

USDCAD is trending up. It broke above the major resistance level and is now trading above it. Recently, it reached a resistance around 1.38900, then pulled back to the previous resistance, which now acts as support, and is trading around that level. If the price breaks below this support, we can expect it to start dropping to the 1.38000 level. On the other hand, if the price reverses from this support, we can expect it to go back up to the resistance, possibly break above it, and continue rising.

USDJPY:

USDJPY is trending down, with major resistance around 152 and major support around 147. The price is currently in the middle of these levels. Since the overall trend is down, we can expect the price to continue dropping to 147 for a pullback or possibly break below it and keep dropping. Watch for breakout and reversal signals. However, if the price goes up to the 152 resistance and breaks above it, the trend might change, and we can expect the price to continue rising.

USDCHF:

USDCHF is trending down and is currently below the support level of 0.87500. The next major support is around 0.85500. We can expect the price to keep dropping to that major support level, but there may be pullbacks along the way. Also, keep in mind that if the price breaks above the resistance level of 0.87500, the trend might change, and we can expect the price to start going up.

GBPUSD:

GBPUSD is trending down. The current resistance is around 1.28000, and the support is around 1.26000. Since it’s a downtrend, we can expect the price to continue dropping to the 1.26000 level before pulling back. But keep an eye on the resistance level because, as you know, if the price breaks above it, the trend might change.

AUDUSD:

Overall, AUDUSD is trending down. On the 1-hour chart, the price is consolidating between the support level at 0.64800 and the resistance level at 0.65800. The future trend will be determined by a breakout, so wait for the breakout. The price will continue in the direction of the breakout.

NZDUSD:

NZDUSD was trending down, but now it seems to be reversing from the major support level of 0.58600. On the 1-hour chart, the price is within a small support and resistance range of 0.59300 to 0.59800. The price is pulling back up from the support. If the reversal is real, we can expect the price to continue rising to the resistance and break above it. Also, keep an eye on the price breaking below this support.

Conclusion & Disclaimer

Please provide your feedback on how we can improve this article. Thank you!

These analyses are here to help you understand how to analyze the market. They’re not about giving buy or sell signals. It’s simply about observing price action market behavior. I don’t recommend when to buy or sell because trading doesn’t work that way. You need a strategy to guide your decisions about when to enter or exit positions. That’s the key to making consistent profits in the financial markets over time.

The information provided in this market analysis is for educational and informational purposes only. It should not be construed as financial advice or a recommendation to buy, sell, or hold any securities or investments.

All investments involve risk, and past performance is not indicative of future results. The analysis provided may not be suitable for all investors and should be used at their own discretion.

Readers are encouraged to conduct their own research.

Trading and investing in financial markets carry inherent risks, including the risk of losing invested capital. It is important to carefully consider your investment objectives, risk tolerance, and financial situation before making any investment decisions.

GOOD LUCK✌!!!