Weekly Forex Analysis: 29 – 3 Dec 2021

US dollar index

On the daily chart, DXY is still in an uptrend trading above the 89 SMA and creating a new supply zone around 96.510-96.925.

This could be a correction before price continues to the upside breaking above the 97 level and going all the way up to 98.661 as a potential target.

If price manages to break below 94.820, we wait for confirmation to short the DXY. But the overall picture suggests more bullish momentum on the US dollar index.

DXY

EURUSD

EURUSD created a new demand zone on the daily chart around 1.11859-1.12301 and showed strong bullish evidence to the upside.

Price could move higher to 1.14324 before breaking below 1.11859.

If the market violates the supply zone around 1.14324-1.14854, we wait for bullish confirmation to go long.

EURUSD

GBPUSD

On the daily chart, GBPUSD is testing the demand zone at 1.32935 and showed some bullish evidence to the upside.

If price continues to show bullish momentum, the next potential target is a retest of 1.36074. This upward move could be a correction before price breaks below this demand zone. As long as we stay below 89 SMA we are still in a downtrend.

GBPUSD

AUDUSD

On the Australian dollar, price broke the trend line, created a new supply zone around 0.75010-0.75560 and went all the way down to 0.71133 near the daily demand zone around 0.69891-0.70710.

If price tests this demand zone and shows enough bullish evidence to the upside, we go long.

If price violates this demand, the next potential target is 0.66816.

AUDUSD

NZDUSD

On the daily chart, NZDUSD created a supply zone around 0.69196-0.69735 and moved all the way down to test the demand zone around 0.68015-0.68328.

If this demand zone holds and price shows enough bullish evidence to the upside, we go long to test 0.69196.

If price violates this demand zone, the next potential target is 0.66116.

NZDUSD

USDCAD

On the daily chart, USDCAD created a new demand zone around 1.25850-1.26334 and showed strong bullish evidence confirmed by the 89 SMA.

If price breaks the 1.29 resistance area, the next potential target is 1.30666.

USDCAD

USDCHF

On the daily chart, USDCHF created a supply zone around 0.93268-0.93727 and showed strong bearish evidence to the downside.

As price is testing the demand at 0.92129, if we have enough bullish evidence to the upside, we go long to 0.93268.

If price violates this demand zone, we wait for confirmation to short.

USDCHF

USDJPY

On the daily chart, USDJPY created a supply zone around 115.077-115.543 and showed strong bearish evidence to the downside.

If price violates the demand zone around 112.706-113.208, we wait for bearish confirmation to short the pair. the next potential targets are 111.465 and 109.371.

USDJPY

WTI Crude Oil

Crude Oil showed strong bearish evidence to the downside moving from 77.63 to 68.16.

The next potential targets are 63.56 where price could correct before going all the way down to 53.48 as the second potential target.

WTI Crude Oil

XAUUSD

Gold is still moving sideways with an overall bearish momentum late 2020.

If price tests 1845.793 and shows enough bearish signs, we short to 1761 as potential target.

Another scenario is price testing 1761, finding enough bulls to push price higher to 1899.349.

XAUUSD

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