Technical Analysis

Technical Analysis – AUDUSD targets January’s top, but will the bulls persist?

Posted on January 21, 2021 at 9:09 am GMT

AUDUSD is buying the shortfall from January’s top of 0.7819 thanks to the 20-day simple moving average (SMA), which managed to cancel bearish forces for the second time. The RSI has resumed its positive momentum above its 50 neutral mark, though the indicator continues to hold a downward direction, while the red Tenkan-sen line, although in a comfortable distance above the blue Kijun-sen, remains flattish. The MACD is also sending some cautious signals as it keeps weakening below its red [..]

Technical Analysis – EURUSD consolidates after correction below 200-MA

Posted on January 21, 2021 at 9:02 am GMT

EURUSD’s recent bounce within a key support region, after a deep retraction below the 200-period simple moving average (SMA), seems to be curbed by the 50-period SMA. Promoting a paused bearish plunge is the falling 50-period SMA and the slight upturn in the 20-period SMA. Furthermore, the gliding 100-period SMA and the slowing upward pace of the 200-period SMA are suggesting further weakening in the positive structure. Taking a glimpse at the short-term oscillators, it is apparent that positive momentum [..]

Technical Analysis – WTI futures remain close to 11-month high; indicators look weak

Posted on January 21, 2021 at 8:29 am GMT

WTI crude oil futures are continuing the long-term buying interest, reaching in the previous sessions an eleven-month high of 53.94. However, the upside momentum is a bit weak as the MACD is falling beneath its trigger line in the positive area, while the RSI is flattening below the overbought zone. Both are suggesting a possible downside retracement. If the market moves higher, the bullish action may pause initially near the 57.40-59.64 zone before attention shifts to the 65.61 resistance, taken from [..]

Technical Analysis – Gold meets 100-SMA again; neutral bias

Posted on January 20, 2021 at 3:06 pm GMT

Gold prices have been developing within a consolidation area over the last almost two-weeks with upper boundary the 1,863 resistance and the 100-period simple moving average (SMA) and lower boundary the 1,817 support level. However, the technical indicators are not supporting this horizontal trajectory, but they are showing mix signals. The stochastic is standing in the overbought zone but is pointing down and the RSI is heading north in the positive area. A successful climb above the 1,863 crucial level could take the yellow [..]

Technical Analysis – EURGBP’s picture dampens with dive under key support base

Posted on January 20, 2021 at 12:14 pm GMT

EURGBP plunged today underneath the critical support foundation of 0.8860-0.8884 that had defended the positive structure since the end of May 2020. The falling 50- and 100-period simple moving averages (SMAs) are endorsing further deterioration in the pair, while the 200-period SMA retains a more neutral tone. The short-term oscillators are also demonstrating a minor rise in negative momentum. The MACD, some distance below zero, has slipped back underneath its red trigger line, while the declining RSI has reached the [..]

Technical Analysis – GBPJPY re-conquers MAs and cloud; favours upside

Posted on January 20, 2021 at 8:35 am GMT

GBPJPY’s upward march appears to have stalled lately between 140.32 and 142.25, although the pair is still emitting a bullish tone as the price hikes the cloud’s upper band after a rebound off the 140.32 barrier. At the moment, the Ichimoku lines are not giving any clear directional signals, while all the advancing simple moving averages (SMAs) are sponsoring a dictating bullish bearing. The short-term oscillators are also suggesting positive momentum is improving. The MACD, not too far above its [..]

Technical Analysis – NZDUSD bounces off 40-SMA; positive outlook remains intact

Posted on January 20, 2021 at 8:16 am GMT

NZDUSD has rebounded off the 40-day simple moving average (SMA) since yesterday, remaining well above the long-term ascending trend line. The RSI is heading upwards with weak momentum, approaching the positive territory, however, the MACD is falling beneath its trigger line, mirroring the latest decline in the price action from the 33-month high of 0.7314. Immediate resistance to further gains would likely come from the multi-month high of 0.7314. If there is a successful break above this area, further resistance could be met around the 0.7390 barrier, taken from [..]

Technical Analysis – USDJPY gets squeezed below major resistance

Posted on January 20, 2021 at 7:05 am GMT

USDJPY is trapped between its 20- and 50-day simple moving averages (SMAs) and beneath the surface of the crucial 10-month old descending channel as the 104.00 level keeps cancelling bullish actions. The RSI and the MACD remain flat around their neutral levels, whereas the bullish cross between the red Tenkan-sen and Blue Kijun-sen lines is currently providing hope that the next move in the price could be positive. The latter, however, awaits a confirmation above the 104.00 number and the channel’s topline, while [..]

Technical Analysis – Apple stock declines somewhat in short-term; bullish in long-term

Posted on January 19, 2021 at 2:30 pm GMT

Apple stock price appears to be losing ground, finding powerful support at the 126.43 barrier. A paused state of directional momentum is reflected in the Ichimoku lines, while the price rests above the upper surface of the Ichimoku cloud. The bearish signals in the short-term oscillators further reflect the fall in the price. The RSI has barely inched below the 50 level, while the stochastic indicator is moving south. If sellers drive the index below the 126.43 support, the 50-day simple [..]

Technical Analysis – USDCAD ranges, with upside efforts curbed by 200-MA

Posted on January 19, 2021 at 12:45 pm GMT

USDCAD appears to have glided into a sideways market with a floor at 1.2624 and a ceiling at 1.2834. The price is currently standing on the slight upturn in the 50-period simple moving average (SMA), trying to gain some footing. Nevertheless, from the beginning of the year, the picture is fairly neutral, something also demonstrated in the directionless Ichimoku lines. The dictating 100- and 200-period SMAs are defending the broader negative picture, while the short-term oscillators and the subsided negative [..]

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.