TIger Forex Report 8-29-22
The Tiger Forex Report – Week of 8/29 – 9/02/2022
DXY is poised to make another run at resistance…
Crude Oil Bulls are gaining momentum…
30yr T-Bond Bears may be in for a struggle as the Bulls fight for a bounce…
EURUSD Weekly Outlook :
EURUSD Bears are in the driver seat, and another test of support is likely early in the week. Downward pressure keeps this market unhinged targeting the 0.9827 level. Be careful trying to fight the trend. This Forex pair remains in a sell rally forecast. 0.9617 is the longer-term downside objective.
A breach of 1.0089 is needed to take this market off edge, and gives the Bulls a chance at making a run for the 1.0135 – 1.0190 upside correction zone. This is all that is likely for a run at resistance. Fundamental variables are not looking good for the EURUSD. The EU is in shambles, and until the political climate changes there is not any sustainable Bullish potential for this market.
GBPUSD Weekly Outlook :
The British Pound is leaning on support in a big way. More downside pressure is likely to manifest early in the week. 1.1658 and 1.1488 are the downside targets. The over all trend is Bearish, and under current conditions it is most likely going to remain intact.
Only a move above 1.1903 takes this market off of the sell campaign for a tough trade up towards the 1.2298 level. The GBPUSD is not expected to get above 1.2298. The trend is intact, and downward momentum continues to win out. If this market is going to get a short-term turn, then a sustained trade above 1.2298 is necessary. 1.2514 is the extended upside objective.
USDCHF Weekly Outlook :
Upside momentum is prevailing in this Forex pair. An early play for the 0.9713 – 0.9794 corrective target zone is the play to start the week off. It is likely to be touch and go in this area as the Bulls try to build strength. The 0.9794 level is expected to give the Bulls a bit of a struggle, but overall upside mentum is expected to prevail. 0.9890 and 1.0164 are the longer-tern upside targets.
A dip under 0.9575 is needed to put this market back on its heels. Under 0.9575 it will be a grind as the market digests recent strength in the short-term trend. The Bulls are in control, and fundamental variables keep the USDCHF in a Bullish posture. Only a slide below 0.9371 reverses the outlook, and brings the Bears back for an extended sell off that targets the 0.9317 level.
USDJPY Weekly Outlook:
The Bulls are back in control over the USDJPY. Last weeks Jackson Hole meeting has helped to shore up the momentum to the upside. An early challenge of 139.36 this week is expected. Be careful trying to fight this move. A breach of 139.36 should touch off fresh buying that could propel the market up to the 140.00 and 142.82 upside targets. If the U.S. interest rates are hitting support, then the rally should be very secure in the USDJPY. Also, if Crude Oil continues to pressure resistance, then it will most likely be a losing proposition fighting the rally.
Only a failure from 135.78 reverses gears for a slide that targets 130.39. Under current conditions this is very unlikely to occur anytime soon. It would take another big sell off in Crude Oil, and a big rally in U.S. interest rate pricing to make this scenario manifest itself.
AUDUSD Weekly Outlook :
AUDUSD is quite simple to read this week. Key off of the 0.6859 directional pivot. Trading above this level targets 0.7162. This is just above the last key swing high of 0.7138. Sustained trading above here targets the 0.7275 level.
Below 0.6859 the Aussie stays under pressure targeting 0.6678. The overall trend is bearish on all time frames. Fundamentally there are few reasons to buy this market. Wait for a valid Buy signal before taking any counter trend trades. 0.6521 is the extended downside target.
NZDUSD Weekly Outlook :
NZDUSD Bears are in full control here. 0.6020 is the downside objective. The trend in this market remains an aggressive Bear with all trading under 0.6250. The economy in New Zealand is in shambles. This keeps this currency pair locked in an aggressively bearish posture.
Only a sustained trade above 0.6250 takes this market off of the bearish campaign for a rough trade back up towards 0.6471. This is a directional level for this market keeping the overall trend intact. It is very unlikely that the NZDUSD will be anywhere close to this level any time soon.
USDCAD Weekly Outlook :
USDCAD Bulls are back trying to make another higher move high. The trend is a Bull targeting 1.3226. Be careful in this area. Trading above 1.3226 targets new move highs up towards the 1.3467 level. This market is in an overall big neutral trade, but the short-term trend is a Bull.
It would take a break under the directional pivot level at 1.2894 to touch off fresh selling that targets 1.2547. If a slide back below here occurs this week, we will give you an update. But don’t count on the Bears making this happen. The momentum is just too strong to the upside right now.