Technical Analysis

Technical Analysis – US 100 index ticks up after aggressive sell-off

Posted on September 9, 2020 at 9:29 am GMT

The US 100 index plummeted for four straight days below the 20- and 50-day simple moving averages (SMAs) after the aggressive rally to a new record high from 12,465.02. Currently, the price is trying to pare some of the losses, flirting with the 23.6% Fibonacci retracement level of the bullish move from 6,635 to 12,465.02 at 11,080. According to the technical indicators, the RSI is turning higher in the negative territory, however, the stochastic oscillator is still in the oversold [..]

Technical Analysis – NZDUSD’s footing at 50-day SMA reinstates certainty in ascent

Posted on September 9, 2020 at 8:21 am GMT

NZDUSD has found a toehold at the Ichimoku cloud’s upper surface joined by the 50-day simple moving average (SMA) at 0.6612, after its pullback from the 13½-month peak of 0.6789. The progressing slopes of the 50- and 100-day SMAs appear to be assisting the positive structure. That said, the positive Ichimoku lines reflect the stall in the climb, while the short-term oscillators display the recent weakening in price. The MACD has dipped below its red trigger line slightly above the [..]

Technical Analysis – USDJPY fails to run above SMAs; struggles near 106.00

Posted on September 9, 2020 at 6:31 am GMT

USDJPY has been in a neutral mode after the rebound on the 18-week low of 104.15 and is trading marginally below the 20- and 40-day simple moving averages (SMAs) and the 106.00 number. The RSI indicator is moving horizontally near the 50 area, while the MACD oscillator is gaining some ground with weak momentum in the negative territory. Both are endorsing the lacking direction in the short-term. In case of a run to the upside, immediate resistance would come from [..]

Technical Analysis – EURCHF’s positive tendency somewhat reserved by constraints

Posted on September 8, 2020 at 3:16 pm GMT

EURCHF’s gradual appreciation remains fairly subdued, confined between the 1.0876 top and a base from 1.0700 until 1.0721. The simple moving averages (SMAs) convey a minor bullish tone, while the short-term oscillators reflect weakness in positive momentum. The MACD, in the positive region, is weakening above its red signal line, while the stochastic oscillator is strengthening its bearish demeanour. The RSI is also reflecting signs of fading, yet remains above the 50 level. If selling interest persists, first critical support [..]

Technical Analysis – USDTRY at new record highs; remains strongly positive

Posted on September 8, 2020 at 2:38 pm GMT

USDTRY surged to a fresh record high today, hitting the 7.4390 barrier after surpassing the strong 7.4067 barrier. The price has been in an ascending movement since December 2018; however, the technical indicators are suggesting an overbought market. The RSI is touching the 70 level, while the MACD is losing momentum below its trigger line. Should the pair manage to strengthen its positive momentum, the next resistance could come around the 161.8% Fibonacci extension level of the down leg from 7.6619 to [..]

Technical Analysis – USDCAD tests medium-term descending trend line

Posted on September 8, 2020 at 12:02 pm GMT

USDCAD has successfully manoeuvred over the Ichimoku cloud and above the 100-period simple moving average (SMA), which was last breached on July 20. The pair is currently piercing the medium-term restrictive line, drawn from March 19. The rising red Tenkan-sen line has overlapped with the blue Kijun-sen line, increasing positive momentum and assisting the pair in tackling the trend line. Additionally, the short-term oscillators also demonstrate bullish momentum. The MACD, in the positive section, is growing above its red trigger [..]

Technical Analysis – WTI futures plunge to new 2-month low

Posted on September 8, 2020 at 9:13 am GMT

Since its deep fall towards a two-month low of 38.15 earlier today, WTI crude oil futures have been trading within a descending movement after the pullback from 43.77. The technical picture supports a bearish structure in the short-term timeframe. Looking at momentum indicators, the RSI is holding in the oversold zone with weak momentum, while the stochastic oscillator posted a bearish crossover within its %K and %D lines and is moving lower towards the 20 line. In the wake [..]

Technical Analysis – EURJPY withdraws from fresh high; bullish bias seems undamaged

Posted on September 8, 2020 at 8:15 am GMT

EURJPY receded from its latest 18-month peak of 127.06, pausing to some extent its climb from 119.30. The preserved positive demeanour of the Ichimoku lines and the bullish tone of the simple moving averages (SMAs) defend the current positive picture. Looking at the short-term oscillators, they reflect the recent pullback in price but positive momentum appears to refuse to give in. The MACD, although below its red signal line, remains some distance in the positive region, while the faded RSI [..]

Technical Analysis – GBPUSD rejected from 8½-month high; next level 1.30

Posted on September 8, 2020 at 6:49 am GMT

GBPUSD has reversed back down again after finding resistance at the eight-and-a-half-month high of 1.3487 achieved last week. The momentum indicators are pointing to a neutral to negative bias in the short term with the RSI holding near the 50 level and the MACD oscillator falling below the trigger line in the positive zone. Moreover, the price declined below the 20-day simple moving average (SMA) and is heading towards the five-month ascending trend line. Further losses should see the 40-day [..]

Technical Analysis – USDJPY lifeless, confined in a horizontal structure

Posted on September 7, 2020 at 3:52 pm GMT

USDJPY remains ruled by a sideways market, maintaining the price between the boundaries of 105.09 and 107.04. The Ichimoku cloud and lines still reflect weak directional momentum, while the gliding and converged simple moving averages (SMAs) appear powerless in assisting the price out of this range. The short-term oscillators further display the non-existent directional momentum. The MACD, slightly above zero, is floating just below its red trigger line, while the RSI is pointing upwards near its 50 threshold. The stochastic [..]

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