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Technical Analysis – GBPAUD struggles at 4½-month high; positive signals remain robust

Posted on October 20, 2020 at 3:29 pm GMT

GBPAUD is finding difficulty in pushing over the June 2 border of 1.8454 that has capped upside corrections for more than four months. Despite current unfolding weakness in the pair, the sturdy positive charge in the Ichimoku lines and the positive bearing of the 50- and 100-period simple moving averages (SMAs) endorse a shift to a bullish bias in the short-to-medium term picture. However, the short-term oscillators reflect the recent weakness in momentum. The MACD, in the positive region, is [..]

Technical Analysis – CADJPY looks neutral-to-bullish; needs some boost

Posted on October 20, 2020 at 1:07 pm GMT

CADJPY is looking more neutral as prices have climbed towards the 40-day simple moving average (SMA) after bouncing off the 78.35 support level. Also, the 80.60 level acted as resistance, hence the upside momentum appears to have run out of steam as prices have been attempting and failing to close above the line in the past sessions. The neutral bias in the near term is also supported by the MACD, which has been hovering near the zero level. The stochastic [..]

Loonie may edge higher after Canadian CPI and better retail sales – Forex News Preview

Posted on October 20, 2020 at 12:27 pm GMT

Canada will publish its inflation data for the month of September at 1230 GMT on Wednesday together with retail sales figures for August. The recovery in retail sales has been V-shaped, with sales in June and July rebounding and surpassing February’s pre-pandemic levels. There is a critical juncture in the economic recovery from Covid-19 that implies more attention is needed on CPI changes as the loonie continues to head north. Will CPI and retail sales figures help the loonie? The projection for the monthly CPI is for it to remain negative at [..]

Daily Market Comment – Stimulus uncertainty hits sentiment; RBA flags more easing

Posted on October 20, 2020 at 9:06 am GMT

US stimulus talks make progress but short time window spooks investors Aussie slips as RBA gives clearest indication yet it will ease policy soon Pound steady despite endless brinkmanship in Brexit talks Stimulus deal getting closer but may come too late Talks in the United States on a new round of fiscal stimulus remains very much the focus for investors as time is fast running out for a pre-election spending bonanza. House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin [..]

Technical Analysis – EURJPY pushes off 100-day SMA; maintains bullish influence

Posted on October 20, 2020 at 8:37 am GMT

EURJPY, although turning higher from the 100-day simple moving average (SMA) at 123.51, appears to be steering into a sideways market. The fairly flattened slopes of the 50- and 200-day SMAs are piloting a more horizontal price formation, while the intact bullish bias in the SMAs and the rising 100-day one are upholding the positive structure. The short-term oscillators are reflecting a pickup in positive momentum. The MACD has merged with its red signal line marginally below the zero mark, [..]

Technical Analysis – GBPUSD holds beneath 1.3000; slightly bearish in short term

Posted on October 20, 2020 at 7:02 am GMT

GBPUSD has reversed back down again after finding resistance at the 1.3080 level and the 1.3000 psychological mark, being the 23.6% Fibonacci retracement level of the up leg from 1.1409 to 1.3487. The momentum indicators are pointing to a neutral bias in the short term with the RSI holding near the 50 level and the MACD oscillator is moving sideways around the zero level. Also, the price is holding within the 20- and 40-day simple moving averages (SMAs) and the [..]

Technical Analysis – AUDUSD barely recovers; looks to develop sideways

Posted on October 19, 2020 at 1:19 pm GMT

AUDUSD has adopted a positive trajectory, improving slightly after pivoting at the 0.7055 low. The rising red Tenkan-sen line and the strengthening technical indicators endorse additional positive price action. Yet, the weakened slopes of the simple moving averages (SMAs) and their converging bearings are sponsoring an evolving horizontal picture. The short-term oscillators reflect a slight increase in positive momentum. The MACD, some distance below zero, is rising above its red trigger line, while the RSI is struggling to reach the [..]

Technical Analysis – USDJPY faces bearish risks inside descending channel

Posted on October 19, 2020 at 12:40 pm GMT

USDJPY pulled back from the 40-period simple moving average (SMA) and the upper bound of the descending channel in the previous couple of sessions. The short-term risk seems to be to the downside as the price is ready to cross below the Ichimoku lines and the RSI is pointing south in the negative territory. However, the MACD is gaining some ground above its trigger line, although it is still developing in the bearish area. Further losses could lead the market towards the 104.92-105.02 [..]

Technical Analysis – US 500 index safe and sound above trendline

Posted on October 19, 2020 at 9:37 am GMT

The US 500 stock index is trimming its latest downfall in the four-hour chart after landing again on the ascending trendline and near its 50-period simple moving average (SMA). Technically, the short-term bias is set to switch back to bullish as the price is trying to strengthen above its 20-period SMA, while the RSI and the MACD are also pushing efforts to gain momentum above their neutral levels. A decisive close above the 3,500 level followed by a run towards the 3,533-3,549 resistance region [..]

Daily Market Comment – Cautious optimism as US stimulus and Brexit talks hang in the balance

Posted on October 19, 2020 at 9:00 am GMT

Pelosi sets new deadline for reaching fiscal stimulus deal; US stock futures edge up Mild risk-on tone after China GDP miss as stronger September lends support Pound shrugs off on-off Brexit talks as UK leaves door open to a deal Euro struggles after Lagarde adds to growing dovish voices Hopes for pre-election stimulus deal not dead yet Fresh talks in Washington between the White House and the Democrats on a new virus relief bill kept alive hopes that a deal [..]

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