Forex Trading the week of 01\/18\/2026: USDX, EU,UJ,GU

Note: BOJ Rate  this week!  MLK Day in the USA (Banks Closed) ATR’s are really low so look for opportunities in the exotics.

USDX: Forex Strategies Bullish: Currently, we are in a 5th wave up.  We have convergence on the hourlies for the long. The pairs should prove it out when the market opens. All of this could change in a heartbeat and will affect the currencies below. ATR’s are starting to rise now that we are in winter trading.  BE SMART - TRADE WITH STOPS!!!!

EURUSD

Forex Strategies Bearish: We are currently @ 1.1598 in a channel.  We are looking for a continuation of the 5th wave to the range bottom @ 1.1450.  The ATR for the pair currently is 44 pips and its 90-day average is 48 pips.   NOT TRADEABLE!

USDJPY                            

Forex Strategies Waiting: We are currently @ 158.08  in a 3rd wave up. A couple of different scenarios:  1: Bullish: a bounce here look for a move to the 2.6a8 Fibo @ 160.07 area. 2: Bearish: If this is a head and Shoulders, Look for a continuation to the support @ 115.70 area.  The average daily true range (ATR) for the pair 75 pips and it 90-day average is 94 pips. Almost NOT TRADEABLE!

GBPUSD

Forex Strategies: Bearish:   We are currently @ 1.3379 in a 3rd wave. We are looking for a continuation  to the S45 @ 1.3200 area and a pullback there.  Watch the USDX for direction. The average daily true range (ATR) for the pair currently is 66 pips and it 90-day average is 68 pips.  NOT TRADEABLE!