Technical Analysis

Technical Analysis – NZDUSD pulls below trendline; set near-term bearish target at 0.5960

Posted on April 15, 2020 at 7:41 am GMT

NZDUSD stopped last week’s rally as the descending trendline and the 50% Fibonacci retracement of the decline stretched from the 0.6754 top proved hard to break once again, with the pair drifting south on Wednesday. The falling RSI and the downside reversal in the Stochastics which have peaked in the overbought territory are discouraging signals and hence the focus may remain largely to the downside in the near-term unless the supportive area around the 38.2% Fibonacci of 0.5960 comes again to the rescue, [..]

Technical Analysis – EURCHF extends sideways drift

Posted on April 14, 2020 at 2:04 pm GMT

EURCHF’s long-term downtrend has glided the pair towards a 55-month low of 1.0517 and into a neutral market since the beginning of March. The price is continuing to creep sideways, being squeezed by the Bollinger bands, which are reflecting the weak direction in price action. The short-term oscillators reflect conflicting signals, with the MACD marginally in the negative territory and below its red trigger line, indicating a desire to increase negative momentum. Moreover, the stochastic %K and %D lines are [..]

Technical Analysis – EURCHF extends sideways bearing; Bollinger bands squeeze

Posted on April 14, 2020 at 1:38 pm GMT

Technical Analysis – JP 225 index re-tries to jump above 50.0% Fibo; slightly bullish in near term

Posted on April 14, 2020 at 1:04 pm GMT

The JP 225 index stretched its two-month old downside rally to an almost four-year trough of 15,383 before retracing half of the decline. The MACD seems to be gaining ground towards the zero line, the RSI is still hovering around its 50 neutral mark and the simple moving averages (SMAs) continue to point south, all signaling a more cautious trading in the short-term. In case of a bullish correction, the index needs to overcome the 50.0% Fibonacci of the bearish move from 24,031 to 15,383 at 19,713, and the 19,872 resistance before heading up [..]

Technical Analysis – US 100 index flags overbought situation near one-month high

Posted on April 14, 2020 at 11:24 am GMT

US 100 stock index (cash) has retraced more than half of the bearish wave started from the 9,750 top, piercing all its simple moving averages (SMAs) on the four-hour chart and topping at a one-month high of 8,495. The odds for a downside correction are increasing as the price is testing a familiar restrictive area and the RSI and the Stochastics are flagging overbought conditions. Should the market weaken, the 8,300 resistance area could help the index to return to [..]

Technical Analysis – USDCAD in descending move after pullback on more than 4-year peak

Posted on April 14, 2020 at 9:30 am GMT

USDCAD held onto losses for the third day in a row, dropping to a one-month low of 1.3855 on Monday. Currently, the pair has been developing below the 20- and 40-period simple moving averages (SMAs) and the falling tentative trend line since March 19. The RSI in the four-hour chart, is turning higher after the bounce off the oversold zone, while the stochastic oscillator is ready to form a bullish crossover with its %K and %D lines above the 20 line, increasing chances for [..]

Technical Analysis – EURJPY sideways market endures; sellers re-emerge

Posted on April 14, 2020 at 8:21 am GMT

EURJPY sellers seem to have resurfaced after the pair reversed down from the capping mid-Bollinger band. That said, the pair remains confined within a horizontal market of 122.86 – 116.11, as the clash between buyers and sellers continues to zigzag the price between these boundaries. Directional signals are also unclear as illustrated in the short-term oscillators. The MACD, in the negative region, has moved just above its red trigger line, while the RSI, hovers in the bearish zone, slipping slightly [..]

Technical Analysis – GBPUSD bulls return to the game; approach a tougher barrier

Posted on April 14, 2020 at 7:41 am GMT

GBPUSD terminated its range bound trading on Monday after the wall around the 1.2460 level, which is also the 50% Fibonacci of the downleg from 1.3513 to 1.1409, collapsed, giving the lead to the bulls. Subsequently, the price strengthened towards the 50-day moving average (SMA) which is currently under examination, with the momentum indicators suggesting that the battle at this point may be an easy one. The RSI is holding a positive slope above its 50-neutral mark, the red Tenkan-sen [..]

Technical Analysis – WTI futures bears face big challenge near 21.90; stochastic seems oversold

Posted on April 14, 2020 at 7:10 am GMT

WTI crude oil futures have been on the sidelines over the last couple of days as the 23.6% Fibonacci retracement level of the down leg from 54.70-19.25 at 27.56 seems to be a struggle for the bulls. The price could lose some more ground in the short-term, according to the RSI, as it is changing direction to the downside. However, the stochastics are warning over an oversold market, forming a bullish crossover within the %K and %D lines. A rebound [..]

Technical Analysis – GER 30 improves above 200-period MA

Posted on April 13, 2020 at 3:17 pm GMT

German 30 index’s (Cash) price appears to be gaining ground above the 200-period simple moving average (SMA), backed by the rising Ichimoku lines and the advancing 50- and 100-period SMAs. Also supporting this view, are the short-term oscillators, which display increasing positive momentum. The MACD, in the positive region, is strengthening above its red trigger line, while the RSI is rising in the overbought territory. If buyers continue to control the market, initial resistance could come from the 10,898 level, [..]

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