Forex Price Action Forecast [2024.08.05]: Key Trends and Trading Signals for EURUSD, USDJPY, GBPUSD, AUDUSD, USDCAD, and 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.

• Canadian banks will close for Civic Day, though some provinces keep banks open. Banks handle most of the foreign exchange trades. When they close, the market has less money flow, making speculators more influential. This can cause unusual low or high volatility in CAD currency pairs.

Forex Price Action Analysis

EURUSD:

EURUSD is trending up and is currently trading above the resistance level of 1.09500. The next resistance is around 1.10000. We might see a pullback at this resistance level, causing the price to fall. However, if the price breaks above this resistance, we can expect it to continue rising.

USDCAD:

USDCAD is also trending up. It reached a resistance level around 1.39500 and then quickly reversed. Now, the price is trading just above the support level of 1.38500. If the price breaks below this level, possibly below 1.38400, we can expect it to continue dropping to 1.38000. If that level is also broken, the price may keep dropping to the next support levels. However, the price could also start rising from 1.38400, so keep that in mind too.

USDJPY:

USDJPY is trending down and is currently just above the major support level of 140.000. We might see a reversal around this support level, and the price could start going up. If the price breaks above 146, we can confirm it entering an uptrend. However, if the price breaks below 140, we can expect it to continue dropping, and the downtrend will carry on.

USDCHF:

USDCHF is also trending down. It found support around 0.84500 and is pulling back. There is resistance around 0.85500. If the price breaks above this, we can expect an uptrend to start. However, the price could pull back from that resistance and break below the support, continuing to drop to the 0.83500 range. With each breakout, the price will keep moving in that direction.

GBPUSD:

GBPUSD is trending down, but on the 1-hour chart, the price is consolidating between 1.28000 and 1.27000. Currently, the price is near resistance. If it breaks above this resistance, we can expect it to go up to the next resistance. If it breaks below the support, we can expect it to drop to the next support. So, wait for a breakout to confirm the direction.

AUDUSD:

Looking at AUDUSD, it’s trending down. It dropped to the support level around 0.63500 and quickly pulled back. Right now, it’s trading just below the resistance at 0.65000. If the price breaks above this 0.65000 level, we can expect it to start a new uptrend. On the other hand, the price could also reverse from that level and start dropping again, so watch out for that.

NZDUSD:

NZDUSD is also trending down, just like AUDUSD. It dropped to the 0.58400 level and quickly pulled back. If the price drops to this level again and breaks below it, we can expect it to keep dropping. On the other hand, if the price goes up to the resistance around 0.59800 and breaks above it, we can expect it to start going up.

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✌!!!