Weekly Forex Forecast (April 3-7, 2023)
The DXY, EURUSD, GBPUSD, USDJPY, and AUDUSD are all included in today's weekly currency prediction. On Friday, the dollar index earned a potentially substantial recovery, while currency pairings such as EURUSD and GBPUSD struggled.
In today's currency prediction, I go through all of this and more. To prepare for the next week, watch the video then scroll down to see the charts.
US Dollar Index (DXY) Forecast
The DXY concluded the week down, but with a possible bullish recovery of 102.50 on Friday. For the time being, it's a possible recapture, as the first 24 hours of the new week will either confirm or negate Friday's surge.
If the dollar index continues to rise early this week, the 103.50 yearly open is next. A daily close below 102.35, particularly 101.90, would be bearish approaching the 101.30 regions.
EURUSD Forecast
The EURUSD had an exciting week, rising to retest the 1.0930 resistance level before falling significantly on Friday. Friday's session finished below the crucial level of 1.0850, as did Thursday's start.
If Monday closes below Friday's low of 1.0837, the bearish engulfing pattern is confirmed, and important support at 1.0750 is opened up. This is also close to the October rising channel support I mentioned before.
For the time being, last week's EURUSD closing appears bearish, but the first 24 hours of the new week will be critical in confirming or negating Friday's candle.
GBPUSD Forecast
Last week, GBPUSD got near the 1.2445 range highs, but not quite. The pound, like the EURUSD, concluded Friday with a bearish candle. It closed below the 4-hour trend line from the 16th after breaking the minor pivot at 1.2345.
Yet, like with the DXY and EURUSD, I'm curious to watch how the GBPUSD reacts in the first 24 hours of the new week. If the 1.2345 level holds as fresh resistance, we might see a move to 1.2288 and potentially the 1.2200 mid-range. A daily close above 1.2345, on the other hand, would seek the 1.2450 range highs.
USDJPY Forecast
On Friday, I wrote on USDJPY, suggesting that bulls needed a daily close above 132.90 to extend the run to 134.40. On Friday, they got close, but not quite. Thus, for the time being, the USDJPY is stuck between 132.65 and 132.90.
There isn't much we can do until we have a daily close above 132.90 or a sustained breach below the 130.70 support confluence. Yet, given the rising channel below, I'm more interested in confirming the bullish situation.
AUDUSD Forecast
Last week, I discussed the AUDUSD, noting that 0.6720 was resistance. Friday, indeed, retested the level and sold down into the close. The more tempting AUDUSD trade, on the other hand, will occur with a higher time frame closure below channel support near 0.6670.
Levels like 0.6580 and 0.6525 would become available as a result. A daily close over 0.6720, on the other hand, would expose 0.6780.