Technical Analysis

Technical Analysis – NZDUSD’s uptrend under negative pressure

Posted on January 15, 2021 at 1:23 pm GMT

NZDUSD has retreated from the recent 32½-month high of 0.7314 and is consolidating around the gradually rising 100-period simple moving average (SMA), which for the last week has curbed further deterioration under the 0.7152 trough. The steady upwards creeping 100- and 200-period SMAs are favouring advances and are trying to protect the positive picture. However, the short-term oscillators and the slowed upward pace in the flattening 50-period SMA are promoting a pickup in negative price action. The MACD, below the [..]

Technical Analysis – US 30 stock index looks for a make-or-break point

Posted on January 15, 2021 at 11:11 am GMT

The US 30 index (cash) is nosing around for fresh bullish traction near the four-month old restrictive line at 30,800 after topping twice around its new record high of 32,252. A clear close below that floor, where the surface of the Ichimoku cloud in the four-hour chart is also placed, would complete a bearish double top formation (more evident in the one-hour chart), likely triggering another negative extension towards the 100-period simple moving average (SMA) and the bottom of the [..]

Technical Analysis – EURGBP meets crucial support band after six negative days

Posted on January 15, 2021 at 8:36 am GMT

EURGBP is trying to balance its weekly negative charge near a familiar support zone of 0.8865 and at the bottom of its seven-month old range following the pullback below its exponential moving averages (EMAs). Given former upside reversals in the region, which coincides with the 50% Fibonacci retracement of February’s rally, and the Stochastics’ bullish cross in the oversold area, a rebound in the price could be a likely scenario in the short run. Note that the market action has been [..]

Technical Analysis – USDCAD holds under SMAs unable to break bearish shackles

Posted on January 15, 2021 at 8:31 am GMT

USDCAD is pushing off multi-year lows but seems to be incapable of shaking off the bearish tone which has grasped the pair for nearly a year, starting back in March 2020. The Ichimoku line’s negative tempo has somewhat eased, while the diving simple moving averages (SMAs) are dictating the bearish picture. Taking a glimpse at the short-term oscillators, we can observe a slight stalling in downwards momentum. The MACD, in the negative region, is resting on its red trigger line, [..]

Technical Analysis – GBPUSD retreats from a jump above 1.3700

Posted on January 15, 2021 at 7:32 am GMT

GBPUSD created a spike to the upside on Thursday, surpassing the 1.3700 round number and recording a fresh 33-month high before it returned lower. In trend indicators the 20- and 40-period simple moving averages (SMAs) posted a bullish crossover in the 4-hour chart, while the red Tenkan-sen line is holding above the blue Kijun-sen line in a flat mode. The RSI, in the positive region, is pointing slightly down and the MACD is dropping below the trigger line in the bullish area. [..]

Technical Analysis – EURJPY bears target the bottom of the range

Posted on January 14, 2021 at 4:29 pm GMT

EURJPY is looking for a close below the key support region of 126.00 in the four-hour chart after inching below the 200-period simple moving average (SMA) for the first time since November. The 23.6% Fibonacci of the 121.60 – 127.48 uptrend is in the same neighborhood, adding extra importance to the region. Given the negative slope in the red Tenkan-sen line and the downward move in the RSI and the MACD, there is a potential for additional bearish corrections towards [..]

Technical Analysis – JPMorgan’s stock prints new all-time high ahead of earnings

Posted on January 14, 2021 at 2:29 pm GMT

JPMorgan’s stock had an incredible rally the past two weeks, unlocking a fresh record of 141.60 ahead of its earnings release, which is due on Friday, before closing lower. Some weakness or some stabilization would not be very surprising after such a marvelous progress. Besides, with the RSI and the Stochastics having surpassed former resistance bars in the overbought territory, there is a growing potential for a downside reversal. However, neither of these indicators have convincingly shifted southwards, nor the MACD has [..]

Technical Analysis – USDCHF remains negatively skewed despite slim progress

Posted on January 14, 2021 at 12:03 pm GMT

USDCHF seems to be capped by the upper Bollinger band around 0.8918 after the price faintly improved from the near 6-year bottom of 0.8757. Currently resting on the mid-Bollinger band, the pair is exhibiting a commanding bearish tone, something also conveyed within the falling simple moving averages (SMAs). However, the short-term oscillators are transmitting mixed signals of directional momentum. The MACD is promoting further advances in price as it is rising above its red trigger line in the bearish region, [..]

Technical Analysis – WTI oil futures look for February’s key as bears gain traction

Posted on January 14, 2021 at 8:53 am GMT

WTI oil futures saw a bit of a drop on Wednesday after touching February’s resistance of 53.90, bringing the 78.6% Fibonacci retracement of the 2020 downfall at 53.00 back under the spotlight. February’s border could be the key to the next leg of the rally, which may initially pause inside the 58.60 – 59.50 restrictive area before stretching towards the 2019 tops registered within the 62.00 – 65.60 zone. That said, any improvement might come with some delay as the momentum indicators, although in [..]

Technical Analysis – AUDUSD maintains solid incline; sentiment favours upside

Posted on January 14, 2021 at 8:48 am GMT

AUDUSD has somewhat consolidated above the mid-Bollinger band after a subtle fade from its recent 33½-month high of 0.7820. The dominant bullish tone in the pair remains unbroken, something also reflected in the dictating simple moving averages (SMAs), which are defending the positive structure. The short-term oscillators overall are leaning towards an improving picture despite showing some dwindling in positive momentum. The MACD, far above the zero mark, has merely dipped below its red trigger line, while the upwards facing [..]

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