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Technical Analysis – US 100 index celebrates Biden’s presidency at a fresh record high

Posted on January 21, 2021 at 12:06 pm GMT

The US 100 stock index (cash) popped to a fresh record high of 13,397 in the first day of Joe Biden’s presidency after finding a strong footing around the red Tenkan-sen line. With the RSI approaching its former peaks around the 70 overbought mark and the price hovering around the 161.8% Fibonacci extension of its latest pullback at 13,368, a downside reversal towards the swing high of 13,126 and the red Tenkan-sen line is likely in the near-term. The 20-day [..]

Technical Analysis – EURJPY faces big challenge around 125.50; lacks direction in medium-term

Posted on January 21, 2021 at 11:04 am GMT

EURJPY has gained little over the last sessions but it is still holding below the 20-period simple moving average (SMA). The technical indicators are feeding prospects for a negative short-term trading; the RSI holds below the 50 level, while the MACD is slipping beneath its trigger line. A failure to overcome the 20-period SMA could send the price down to 125.07-125.25, a challenging point over the last three days. Lower support could be next found around the 124.30 support and the [..]

Daily Market Comment – Wall Street at fresh record as Biden sworn in; euro up ahead of ECB

Posted on January 21, 2021 at 10:10 am GMT

Hopes of more stimulus and relief over Biden’s peaceful transition lift sentiment US stocks close at new record highs as strong earnings add extra fuel Dollar skids again, euro bounces off lows ahead of ECB decision Optimism high as Biden enters White House After four tumultuous years, Trump’s presidency came to a historic end on Wednesday, as Joe Biden marked his first day at the White House by spreading a message of hope and unity to a fractious nation. While [..]

Technical Analysis – AUDUSD targets January’s top, but will the bulls persist?

Posted on January 21, 2021 at 9:09 am GMT

AUDUSD is buying the shortfall from January’s top of 0.7819 thanks to the 20-day simple moving average (SMA), which managed to cancel bearish forces for the second time. The RSI has resumed its positive momentum above its 50 neutral mark, though the indicator continues to hold a downward direction, while the red Tenkan-sen line, although in a comfortable distance above the blue Kijun-sen, remains flattish. The MACD is also sending some cautious signals as it keeps weakening below its red [..]

Technical Analysis – EURUSD consolidates after correction below 200-MA

Posted on January 21, 2021 at 9:02 am GMT

EURUSD’s recent bounce within a key support region, after a deep retraction below the 200-period simple moving average (SMA), seems to be curbed by the 50-period SMA. Promoting a paused bearish plunge is the falling 50-period SMA and the slight upturn in the 20-period SMA. Furthermore, the gliding 100-period SMA and the slowing upward pace of the 200-period SMA are suggesting further weakening in the positive structure. Taking a glimpse at the short-term oscillators, it is apparent that positive momentum [..]

Technical Analysis – WTI futures remain close to 11-month high; indicators look weak

Posted on January 21, 2021 at 8:29 am GMT

WTI crude oil futures are continuing the long-term buying interest, reaching in the previous sessions an eleven-month high of 53.94. However, the upside momentum is a bit weak as the MACD is falling beneath its trigger line in the positive area, while the RSI is flattening below the overbought zone. Both are suggesting a possible downside retracement. If the market moves higher, the bullish action may pause initially near the 57.40-59.64 zone before attention shifts to the 65.61 resistance, taken from [..]

ECB: May hold steady with eyes on the euro – Forex News preview

Posted on January 20, 2021 at 3:11 pm GMT

The European Central Bank (ECB) will conclude its first rate-setting meeting of the year on Thursday at 12:45 GMT and although worsening virus conditions have made a double-dip recession all but certain at the end of 2020, the central bank may decide to stay on the sidelines. The policy announcement itself is not expected to be a big market mover for the euro, though criticism of the euro’s strength could bring a major support area under examination. ECB to stand [..]

UK PMIs to highlight lockdown pain but Johnson’s vaccination drive buoys pound – Forex News Preview

Posted on January 20, 2021 at 3:10 pm GMT

Having only just come out of lockdown number two, much of the United Kingdom finds itself shut down again as the recently discovered new variant of Covid-19 is spreading even faster than previously known strains. This new highly contagious version of the virus left the government no choice but to impose the toughest measures since the first lockdown at the beginning of January. Hence, it will come as no surprise that the flash PMIs for the month – due on [..]

Technical Analysis – Gold meets 100-SMA again; neutral bias

Posted on January 20, 2021 at 3:06 pm GMT

Gold prices have been developing within a consolidation area over the last almost two-weeks with upper boundary the 1,863 resistance and the 100-period simple moving average (SMA) and lower boundary the 1,817 support level. However, the technical indicators are not supporting this horizontal trajectory, but they are showing mix signals. The stochastic is standing in the overbought zone but is pointing down and the RSI is heading north in the positive area. A successful climb above the 1,863 crucial level could take the yellow [..]

Technical Analysis – EURGBP’s picture dampens with dive under key support base

Posted on January 20, 2021 at 12:14 pm GMT

EURGBP plunged today underneath the critical support foundation of 0.8860-0.8884 that had defended the positive structure since the end of May 2020. The falling 50- and 100-period simple moving averages (SMAs) are endorsing further deterioration in the pair, while the 200-period SMA retains a more neutral tone. The short-term oscillators are also demonstrating a minor rise in negative momentum. The MACD, some distance below zero, has slipped back underneath its red trigger line, while the declining RSI has reached the [..]

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