News

Technical Analysis – US 30 index under negative strain; broader positive picture challenged

Posted on September 11, 2020 at 12:05 pm GMT

US 30 stock index (Cash) is flirting with the 200-period simple moving average (SMA) following a bounce off the 27,196 barrier, which was then capped by the 100-period SMA around 28,207. The retreat from the 6½-month high of 29,195 appears to maintain its waning negative tone, and may receive a boost from the forthcoming bearish crossover of the 100-period SMA by the 50-period one. That said, the merged Ichimoku lines are currently edging sideways reflecting a slowing pace in the [..]

Technical Analysis – NZDUSD hovers in Ichimoku cloud; gains some ground

Posted on September 11, 2020 at 9:14 am GMT

NZDUSD looks to be creating a floor inside the Ichimoku cloud and above the 200-period simple moving average (SMA). The RSI indicator is ticking marginally up near the neutral threshold of 50, while the stochastic posted a bullish crossover within its %K and %D lines following the bounce off the 20 level. Traders, however, would be more eager to engage in buying activities if the price manages to surpass the nearby 40-period SMA at 0.6687. If this is successfully breached, [..]

Daily Market Comment – Lagarde gives euro bulls the green light; Pound sinks on Brexit turmoil

Posted on September 11, 2020 at 8:52 am GMT

Never mind about talking down the euro, ECB wants to talk up the recovery Pound tumbles again as UK-EU Brexit row turns ugly, but talks still on Wall Street back in the red as hope for pre-election fiscal boost slips Euro surges after Lagarde poses no threat The European Central Bank kept its monetary policy settings unchanged on Thursday and sounded cautiously optimistic about the Eurozone’s recovery prospects. However, it was President Christine Lagarde’s stance on the exchange rate that [..]

Technical Analysis – GBPJPY locates foothold, stalling sell-off at 100-day SMA

Posted on September 11, 2020 at 8:29 am GMT

GBPJPY has discovered strong support from the 100-day simple moving average (SMA) of 135.54, located at the Ichimoku cloud’s lower boundary. The falling Ichimoku lines are backing the plunge in the price, while the 50- and 100-day SMAs aim to restore the pair in positive ground. The short-term oscillators are also displaying conflicting signals in momentum, hinting that price may shift into a sideways market for a while. The MACD is extending its dip under its red signal line, below [..]

Technical Analysis – USDCAD retests upper boundary of descending channel

Posted on September 11, 2020 at 7:07 am GMT

USDCAD has been developing within a descending movement since March 19 and is currently coupled within the 20- and 40-day simple moving averages (SMAs). After the rebound on the eight-month low of 1.2993, the price is trying to overcome the 1.3250 resistance. The technical indicators seem to be mixed as the MACD surpassed the trigger line in the negative territory, while the RSI is ticking south below 50. In the positive scenario, the pair could improve above the 40-day SMA, [..]

Technical Analysis – EURJPY surpasses 126.00 key level with strong momentum

Posted on September 10, 2020 at 12:53 pm GMT

EURJPY stretched its two-day rally above the 40- and 100-period simple moving averages (SMAs) moving towards the 126.00 handle. The stochastic seems to be losing momentum below the overbought territory, the RSI is pointing north in the positive area and the red Tenkan-sen is ticking up below the blue Kijun-sen, all signaling a more cautious trading in the short term. Should the price extend above the 126.00 number, resistance to upside movements could be initially detected around the 18-month high [..]

Technical Analysis – USDCHF consolidates below dictating SMAs

Posted on September 10, 2020 at 12:22 pm GMT

USDCHF has glided into a sideways structure where upside moves have been capped by the 50-day simple moving average (SMA). The recent flattening out of the now fused Ichimoku lines backs the recent ranging in the pair, while all SMAs maintain their forged bearish tone. The short-term oscillators reflect the pause in the market but convey a pick-up in negative sentiment. The MACD, although having strengthened above its red signal line in the negative region, looks set to fall back [..]

Technical Analysis – EURUSD flirts with SMAs following rebound on strong 1.1753

Posted on September 10, 2020 at 10:17 am GMT

EURUSD re-entered the 1.1800 area to touch the bearish cross within the 40- and 200-period simple moving averages (SMAs) in the 4-hour chart after bouncing near the key 1.1753 level. The technical indicators feeding prospects for a possible positive short-term trading. The RSI climbed above the 50 level, while the MACD continues to strengthen above its trigger line in the negative territory. A failure to overcome the SMAs could send the price down to 1.1753, a challenging point over the last month. Lower, [..]

Daily Market Comment – Nasdaq snaps losing streak; ECB to walk a fine line

Posted on September 10, 2020 at 8:45 am GMT

Equity slump eases as tech stocks bounce back; but is the rout over? Euro perks up ahead of ECB decision as dovish expectations fade a little Pound steadies but backlash over Johnson’s Brexit plan intensifies Nasdaq has best day since April Wall Street ended its three-day losing streak on Wednesday, with all three major indices going some way in recouping the previous sessions’ heavy losses. The Nasdaq Composite and Nasdaq-100 soared by 2.7% and 3.0% respectively, enjoying their biggest one-day [..]

Technical Analysis – WTI futures recede below 200-MA, denied passage over 43.69

Posted on September 10, 2020 at 8:35 am GMT

WTI oil futures have found some footing on the 100-day simple moving average (SMA) of 37.03, residing at the Ichimoku cloud’s lower band, following ineffective efforts to overrun the vital resistance border of 43.69. The flat Ichimoku lines and the converging SMAs appear to signal oxygen-deprived directional drive, which could nudge the price sideways. That said, the short-term oscillators also display conflicting signals in momentum. The MACD is extending a negative move below its red trigger line and the zero [..]

Legal disclaimer: The material does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instruments. XM accepts no responsibility for any use that may be made of these comments and for any consequences resulting in it. No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. The research and analysis does not involve any specific investment objectives, financial situation and needs of any specific person who may receive it.

It has not been prepared in accordance with legal requirements designed to promote the independence of research, and as such it is considered to be marketing communication. Although we are not specifically constrained from dealing ahead of the publication of our research, we do not seek to take advantage of it before we provide it to our clients. We aim to establish, maintain and operate effective organisational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. We operate a policy of independence, which requires our employees to act in our clients’ best interests and to disregard any conflicts of interest in providing our services.

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losing all of your invested capital, so please make sure that you fully understand the risks involved.