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Generalized Forex Forecast for 23-27 February 2015

NordFX NordFX
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Generalizing the opinions of 35 analysts from world leading banks and broker companies as well as forecasts based on different methods of technical and graphical analysis, it can be noted that this week major changes in the levels are not expected for any of the pairs and that all of them will be prone to sideways movements. However, here are some more specific trends:

EURUSD is likely to continue to move towards 1.1550 and even to 1.1600 but most probably will be able get there only in early March. The main level of support for the pair will be 1.1265, from which it will push off;

– the forecast for GBPUSD is a sideways movement in the range of 1.5340-1.5500. It’s noteworthy that indicators provide different readings here – some show a steady rise of the pair and others allow for its sharp fall to 1.5200 at the start of the week, followed by a rebound to 1.5400;

– the strong level of support for USDJPY will still be around 118.15-118.40, and the pair will carry on with its upward tendency. However, this week the target will be quite modest – 120.50;

– the forecast for USDCHF remains the same for a third week running – a further sideways trend with prevailing bullish tendencies and the nearest target at 0.9555. However, it’s not excluded that after breaking through the support level of 0.9200, the pair will rapidly fall to around 0.9000 where it was a month ago.

Last week’s forecast was fulfilled if not 100%, then around 90% for sure. We had predicted a sideways trend with striving upwards for all four pairs:

– as forecast, the EURUSD pair fell just below the level of 1.1340 on Monday, bounced off it and rushed up to the desired heights. It didn’t reach the set target of 1.1550, though, and unable to pass the 1.1450 mark, it returned to the support level of 1.1340. The pair experienced such fluctuations several times and finished Friday at the level of the start of the week;

– the GBPUSD pair behaved in exactly the same way. At first, according to our forecast, it plunged to 1.5340, then reached the upper levels of the sideways corridor and returned to Monday’s levels;

– the USDJPY pair was also really predictable, bouncing off the level of 118.40 and staying in its sideways trend. As expected, the assault of the level of 121.00 was postponed till later;

USDCHF was predicted to have a sideways trend with a smooth rise to 0.9400. However, the bears turned out to be slightly stronger than expected, and the pair got to 0.9530 step by step. However, it reversed (to stay true to our predictions) and quickly fell to 0.9400 Friday evening, thanks to Greek Finance Minister Yanis Varoufakis’ contribution among other things.

Roman Butko, NordFX

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