Free Forex Trading Signals: EURUSD, GBPUSD, USDJPY

Historically, December is the best month to buy the Euro against the USD.

□ Assets: EURUSD, USDJPY, GBPUSD

□ TCI Forecast: Given neutral news, the Euro is expected to turn bullish against the US Dollar (↑), starting a new uptrend in the first few days of December 2014.

□ Potential Reversal Dates: November 26, 2014, or December 3, 2014 (based on TCI readings).

In most of our 2014 Forex reports, we have emphasized the strength of the US Dollar against other majors. The USD is in a strong uptrend against EUR and JPY due to the growing US economy and the expected rise in US interest rates starting in 2015. Meanwhile, many other major currencies suffer from slow growth or recession, as with Japan. Considering these fundamentals, the long-term USD uptrend will likely continue in the coming months. Although the USD uptrend is strong, corrections are inevitable after large gains. Our analysis shows that December 2014 will probably be a month when the US Dollar loses some ground (corrects) against other majors, especially the Euro.

Evaluating the Previous Trading Signal from TradingCenter.org

Our previous trading signal was one of the best we’ve ever published on TradingCenter.org. Not only did we forecast the USD’s rise against all majors in November 2014, but we also predicted the exact timing of the new uptrend starting in the last days of October.

We said exactly: “USD correction is coming to an end; we expect the formation of a new USD uptrend (↑). The new uptrend is expected to start in the last few days of October 2014 and peak by late November 2014.”

At that time, USDJPY was trading at 106.875; now it is around 118.00. That’s a huge gain in pips in just one month.

Forex Market Current Outlook

The Japanese Yen has faced heavy selling pressure since October 31, 2014, after the Bank of Japan announced more stimulus and following a disappointing GDP report. The British Pound Sterling is also under pressure due to weak inflation data from the Bank of England. In the Eurozone, the Euro continues to struggle with slow growth and low inflation, and drops every time ECB President Mario Draghi speaks. If you hold a long Euro position, you don’t want to hear Mario Draghi speak these days.

Read more: GBPUSD, EURUSD, USDJPY, November 2014

📶 Free Forex Trading Signals: EURUSD September 2014

■ Market: Forex

■ Asset: EURUSD

💱 EURUSD Outlook

During the summer of 2014, the US Dollar gained significant ground against the European currency. Since early 2014, TradingCenter has alerted Forex traders about a long-term USD appreciation against the Euro, expected to last for many years. However, this is a long-term outlook, and throughout this projected bearish trend, we can expect several notable bear-market rallies. In this analysis, we will examine whether the time has come for a significant bear-market rally in EURUSD. The European Central Bank meets on Thursday, and any decision made by the ECB could strongly impact the upcoming EURUSD exchange rate.

EURUSD Technical Analysis

■ Strong Supply Level: 1.3421

■ Strong Demand Level: 1.2945 / 1.2987

⚙️ TCI on EURUSD

The Trading Center Indicator (TCI) is a proprietary technical analysis tool developed by TradingCenter.

Below are the TCI indications for EURUSD, projecting 15 trading days ahead. As shown, TCI forecasts a local low on Wednesday, September 3rd, 2014. This potential low point is marked in red. According to TCI, September 4th, 2014, appears to be a key technical turnaround date. Interestingly, this is also the day the ECB is scheduled to announce an important rate decision. Is this merely a coincidence—or does it reflect the remarkable predictive power of TCI?

Read more: Free Forex Trading Signals: EURUSD September 2014

The US Dollar Against Other Major Currencies (October–November 2014)

■ Market/Asset: Forex / The US Dollar against other major currencies

■ TCI Forecast: USD correction is ending, followed by a new USD uptrend (↑)

■ Momentum: The new uptrend is expected to begin in the last days of October 2014 and peak by late November 2014

Foreign Exchange Market Outlook

The strength of the US Dollar over the next 6 to 12 months is clear, but Forex currencies don’t move like stocks, so this strength won’t follow a single straight trend. In September 2014, the US Dollar rose rapidly against other major currencies, as shown in the TCI tables below. This fast move created an overbought US Dollar market (EURUSD, USDJPY, GBPUSD), making a correction inevitable. Neither the Fed nor the ECB wants the USD to move too sharply, as this could hurt the real economies in both regions.

The US Dollar’s rise will happen at the right time and with proper market momentum. We expect USD bullish runs of 4–6%, followed by corrections of 2–3%, with cycles lasting 3 to 4 months overall.

Evaluating the Previous Forex Trading Signal on USDJPY (September 2014)

In our previous Forex trading signal, we predicted a correction for USDJPY. At that time, USDJPY was trading at 108.626. We also identified 110.75 as the first strong resistance level. On October 1st, USDJPY reached 110.08 and then began to correct. By October 15th, USDJPY hit a local low of 105.193. The signal was confirmed.

🔗 The Previous Forex Signal: » Forex Trade Signals -USDJPY September 2014

Read more: US Dollar Trading Signal October-November 2014

EURUSD Forex Trading Signal June 2014

May proved once again to be an unfavorable month for EURUSD. The recent European elections gave the market hope that the European economy will shift toward growth in the coming years. However, in May 2014, ECB President Mario Draghi warned that the strength of the Euro is a ‘serious concern.’ Any new EU growth policies will likely lead to a more flexible Euro rate against the US Dollar over the next few years. From a long-term view, this is negative news for the Euro.

On the other hand, for the short-term EURUSD movement, our TCI model shows the Euro is now in an oversold area, which may push EURUSD higher in the coming weeks. Note that June is traditionally a strong month for the Euro against the USD (see the statistics table below).

The current TCI trading signal predicts the course of EURUSD for the upcoming weeks.

• Forex Asset: EURUSD
• Exchange Rate: 1.36328
• TCI Forecast: Uptrend Correction (↑)

Before diving deeper into EURUSD, let’s review our previous signal on the Nasdaq Composite.

Previous TCI Trading Signal on Nasdaq Composite

In our last TCI analysis, we predicted a short-term bullish market for the Nasdaq Composite, though we remain cautious about the long-term outlook.

At the time of our previous signal (May 19th, before market open), the Nasdaq was at 4,090.57 points. We forecasted a bullish trend and set a selling target for May 27th, 2014. Today, Nasdaq stands at 4,242.62 points, confirming our TCI-based trading signal.

■ TCI Signal: Short-Term Bullish Market

■ Nasdaq Starting: 4,090.57 points

■ Selling Target: 27th of May 2014

■ Nasdaq Today: 4,242.62 points

Read more: EURUSD Forex Trading Signal June 2014

📶 Forex Trade Signals: USDJPY September 2014

◙ Forex Asset: USDJPY

◙ TCI Forecast: Correction (↓) is closing

🌐 USDJPY Outlook

In numerous previous articles, we have emphasized the anticipated strength of the US Dollar. USD interest rates are expected to rise during 2015 as the Federal Reserve’s concerns about inflation begin to outweigh its concerns about unemployment. Over the past few weeks, the US Dollar has demonstrated significant strength.

This analysis focuses on the US Dollar against the Japanese Yen. USDJPY is currently trading at 108.626, notably higher than the 104.337 level recorded at the beginning of September 2014. We will examine whether the current bullish trend in USDJPY is likely to continue or if a correction is approaching.

📝 USDJPY Analysis Preface

As shown in the chart below, USDJPY has been surging for quite some time. Just two years ago, in September 2012, USDJPY was trading around 77.00—now it stands above 108.00. This significant uptrend can be attributed to the Bank of Japan’s highly accommodative monetary policy over the past two years, aimed at boosting the growth potential of Japan’s struggling economy.

📈 USDJPY Technical Analysis - What happens next regarding USDJPY?

Regarding the long run, the ultimate target for USDJPY lies between 119.00 and 124.00—levels last seen in 2006. Honestly, I believe that during 2015, we will see USDJPY trading around 120.00. However, this won’t happen in just one or two months; the current levels must be fully absorbed before USDJPY can move higher.

Read more: Forex Trade Signals USDJPY September 2014

📶 Free Forex Signals: GBPUSD April 2014

In this TCI analysis, we will examine GBPUSD using the TCI model, statistical trends, and fundamental updates. Historically, April has been a strong month for the British Pound against the US Dollar, while May typically brings a correction for GBPUSD. Important economic news and updates are expected between April 30 and May 8, affecting both the US and UK economies.

• Forex Asset: GBPUSD
• TCI Forecast: Possible Uptrend (↑)
• Target Level: 1.7000

🌍 Macroeconomic Outlook

The British Pound is gaining strength ahead of key news releases and the Bank of England’s meeting on May 8, 2014. Investor confidence in the UK economy is rising, which is clearly reflected in the Pound’s performance so far in 2014. Although concerns about the UK’s current account deficit remain, the economy continues to grow, a trend expected to be confirmed by the first-quarter GDP report. Additionally, rising housing prices combined with increasing wages may create the conditions for an interest rate hike to address inflationary pressures.

Regarding the US Dollar, a critical period of important announcements is underway from April 30 to May 2, 2014. It is advisable to avoid trading the US Dollar during these days unless you have a thorough understanding of the market.

Read more: GBPUSD April 2014