Forex Daily Forecast, Analysis and Prediction

EURUSD: Move down from 1.1091 most likely

AUDUSD: Weakly bullish but resistance at 0.6940

The British pound rallied significantly during the trading session only to give back the gains and form what could be an inverted hammer.

The Australian dollar has rallied a bit during the trading session on Friday, reaching towards the 200 day EMA.

The S&P 500 rallied a bit during the trading session on Friday, as we continue to see the so-called “Santa Claus rally” in the marketplace.

The Euro has broken down a bit during the trading session on Friday, showing signs of exhaustion and has broken through the 50 day EMA a bit.

The NASDAQ 100 has rallied a bit during the trading session on Friday, making a fresh, new high yet again.

The US dollar has initially fallen during the trading session on Friday but then turned around to show signs of life again.

Natural gas markets bounced a bit during the trading session on Friday, breaking above the highs from the Thursday session after that very bullish inventory figure.

The West Texas Intermediate Crude Oil market fell during the trading session on Friday, showing signs of exhaustion and probably more likely, profit-taking.

Bitcoin did very little during the trading session on Friday, as the market is probably focusing more on the holidays than anything else.

On the daily chart, it appears clear that the EUR/USD has broken form the bullish channel by moving towards the 1.1066 support, and the trend may be completely transformed by moving below the 1.1000 support.

Gold markets will be very quiet this week unless of course we get some type of headline coming out of the US/China situation that moves the markets.

USDJPY: Pivotal area 109.50 / 110.00 still in play

Prior to the holidays, which weaken liquidity in the markets, and with investors risk avoidance until the markets return to normal conditions.