Technical Analysis

Technical Analysis – GBPUSD’s retraction unable to tilt appreciation scale

Posted on January 12, 2021 at 9:05 am GMT

GBPUSD continues to echo a positive tone despite recently retreating from a fresh 32-month high of 1.3703. The rising red Tenkan-sen line is suggesting positive momentum is growing, while the flattening blue Kijun-sen line is indicating that the ascent is under stress. Nonetheless, the advancing simple moving averages (SMAs) are defending the bullish picture. Furthermore, the short-term oscillators are conveying a pickup in positive sentiment. The MACD remains some distance above the zero line despite weakening slightly below its red [..]

Technical Analysis – EURJPY bulls take a breather near 2-year high

Posted on January 12, 2021 at 8:29 am GMT

EURJPY geared down after topping near the familiar 127.50 barrier from 2017 – 2018, but the 20-day simple moving average (SMA) slightly lower at 146.47 managed to put some breaks to selling forces, preventing any move towards the key 146.00 support region. Currently, the short-term bias is looking neutral as the red Tenkan-sen line is flattening marginally above the stable blue Kijun-sen and the RSI seems to be stabilizing its downward move slightly above 50. The bears, however, may not [..]

Technical Analysis – WTI futures flirt with 11-month peak; indicators look overbought

Posted on January 12, 2021 at 8:05 am GMT

WTI crude oil futures have reversed higher again reaching a fresh eleven-month high of 52.70, however, the MACD oscillator now suggests that the market sentiment might get worse before getting better. The RSI is approaching the overbought territory, indicating a possible pullback in the very short-term timeframe. If the price manages to move higher again and surpass the eleven-month high of 52.75 it could take the market towards the 54.62 resistance, registered in February 2020. Alternatively, the market might revisit the 20-period simple moving average (SMA) [..]

Technical Analysis – US 500 index looks optimistic despite minor retreat

Posted on January 11, 2021 at 1:58 pm GMT

The US 500 index (Cash) has retracted ever so slightly after stalling around the fresh all-time high of 3,831. Although the Ichimoku lines are revealing the ebbing in positive price action, the bullish demeanour of the simple moving averages (SMAs) is defending the positive structure. The withdrawal in price will have to mature into a deeper retracement to have any significant effect on the upwards drive. The short-term oscillators are transmitting mixed frequencies in directional sentiment. The MACD, in the [..]

Technical Analysis – AUDUSD bounces off 23.6% Fibo; bullish in medium term

Posted on January 11, 2021 at 9:45 am GMT

AUDUSD has rebounded on the 23.6% Fibonacci retracement level of the upward move from 0.7254 to 0.7820 at 0.7688 after the selling interest from the 22-month high of 0.7820. According to the technical indicators, the RSI is sloping up in the bearish zone, however, the MACD is hitting the zero level below its trigger line. Should the pair manage to strengthen its positive momentum, the next resistance could come around the 40-period simple moving average (SMA) at 0.7735 before resting [..]

Technical Analysis – Gold leans to the bearish side again; 200-day SMA in focus

Posted on January 11, 2021 at 8:58 am GMT

Gold came under severe selling pressure on Friday, slumping below a steep ascending trendline and back into the descending channel. The sharp-sell off saw another extension towards a six-week low of 1,817 early on Monday, but the precious metal managed to recoup its intraday losses and climb back above its 200-day simple moving average (SMA) and to the 1,850 level. From a technical perspective, the bears could dominate in the short run as the recent decline in the price drove [..]

Technical Analysis – EURUSD takes a hit but bullish structure endures

Posted on January 11, 2021 at 8:30 am GMT

EURUSD is sustaining a negative tone today after plotting two bearish daily candles off of a 32½-month peak of 1.2349. In spite of the convincing pullback, which is proposing a deeper retracement, the predominant simple moving averages (SMAs) are continuing to protect the positive picture. The Ichimoku lines with the clear dip in the red Tenkan-sen line are suggesting a slowing pace in positive price action, while the short-term indicators are portraying a surge in negative momentum. The MACD, some [..]

Technical Analysis – USDJPY rises to 1-month high after rebound on 10-month low

Posted on January 11, 2021 at 8:01 am GMT

USDJPY has advanced considerably since roughly the beginning of the year, hitting a one-month high of 104.22 earlier today, but currently posting some losses. Looking at momentum indicators, the RSI is lacking direction slightly below the overbought territory, suggesting that the market could retreat a bit in the very short-term. The MACD also supports this view as it is flattening above its trigger line in the positive area. In the wake of negative pressures, the market could meet support at [..]

Technical Analysis – NZDUSD stumbles but upside risks remain intact

Posted on January 8, 2021 at 1:45 pm GMT

NZDUSD is currently tracing the mid-Bollinger band in the four-hour chart after a slight pullback from the recently plotted 32½-month peak of 0.7314. Despite the small retracement in the pair, the commanding simple moving averages (SMAs) are backing the predominant bullish picture. The short-term oscillators are reflecting conflicting signals in directional momentum, though are leaning somewhat to the upside. The MACD remains in the positive region but has plunged some distance below its red trigger line, while the RSI is [..]

Technical Analysis – GBPUSD positively skewed despite recent consolidation

Posted on January 8, 2021 at 12:00 pm GMT

GBPUSD is consolidating into the Ichimoku cloud after its recent retreat from the newly formed 32-month peak. The bias still seems to be favouring the upside although positive momentum is looking somewhat strained. Furthermore, the commanding bullish simple moving averages (SMAs) are overall preserving the positive structure in spite of the minor stalling in the 50-period SMA. The short-term technical oscillators are transmitting signals of growing bullish sentiment, promoting an optimistic outcome. The MACD is marginally below its red trigger [..]

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