forex

Technical Analysis – EURUSD rises back above SMAs but limited gains are expected

Posted on July 23, 2018 at 6:37 am GMT

EURUSD is holding below the strong resistance obstacle of the 23.6% Fibonacci retracement level around 1.1760, over the last month. However, over Friday’s trading session the world’s most traded currency surpassed the 20- and 40-simple moving averages (SMAs) in the daily timeframe, indicating a possible upside correction. Having a look at the technical indicators, the RSI is flattening slightly above the threshold of 50, while the MACD oscillator failed to jump into the positive territory but still stands above the trigger line. [..]

Week Ahead – US GDP growth expected to surge in Q2; ECB meets – can it bring relief to sliding euro?

Posted on July 20, 2018 at 10:09 am GMT

The preliminary estimate of US GDP growth for the second quarter and the latest monetary policy meeting by the European Central Bank will be the most keenly awaited events of the next seven days. While there should be plenty of headlines from these two risk events, the remainder of the week is looking unusually quiet, with only Australian inflation, Eurozone flash CPIs and US durable goods standing out as notable releases. Australian inflation to rise within RBA’s target band Recent [..]

Technical Analysis – GBPJPY remains bearish as recent bounce runs out of steam in short term

Posted on July 20, 2018 at 8:43 am GMT

GBPJPY has reversed back down again after finding resistance on the 149.30 high achieved on Monday and completed three straight bearish days. Furthermore, the price tumbled below the 200-simple moving average in the medium-term as well as below the 50.0% Fibonacci retracement level of the upleg from 143.75 to 149.30, near 146.50. In the 4-hour chart, the momentum indicators are pointing to a negative bias, with the RSI sloping to the downside near the threshold of 30. The MACD oscillator [..]

Technical Analysis – USDCAD surpasses 20-day SMA with strong rally; 1-year high is next resistance hurdle

Posted on July 20, 2018 at 6:35 am GMT

USDCAD recorded a stunning rally on Thursday and continued the buying interest during today’s Asian session towards a three-week high of 1.3289. This week, the pair is in positive territory, so far for the second session in a row, after the rebound near the 1.3065 support that was reached on July 9. However, the momentum indicators seem to be in confusion and the market could ease a little bit in the short-term. The RSI indicator is currently sloping to the downside, increasing negative [..]

Can Canada’s CPIs and retail sales help the loonie recover its poise? – Forex News Preview

Posted on July 19, 2018 at 12:58 pm GMT

Canada will see the release of its inflation and retail sales data on Friday at 1230 GMT. Forecasts point to an acceleration in price pressures and a sharp rebound in sales, which if confirmed, could enhance speculation for another BoC rate increase this year. Beyond economic data, any developments on the NAFTA front could also be crucial for the loonie’s forthcoming direction. When the Bank of Canada (BoC) raised interest rates last week for the second time this year, it [..]

Technical Analysis – NZDUSD posts strong losses; lower Bollinger Band would act as strong support

Posted on July 19, 2018 at 8:26 am GMT

NZDUSD edged sharply lower today following the bounce off the 0.6805 resistance level, driving the pair below the 23.6% Fibonacci retracement level of the downleg from 0.7060 to 0.6686, around 0.6775. This week, the pair is on the backfoot and the technical indicators suggest that the market could ease a little bit in the short-term. The technical structure suggests that an aggressive sell-off is in progress. The RSI indicator slipped below the threshold of 50 and is moving towards the 30 [..]

Technical Analysis – USDJPY forms doji candle after 6-month high; indicators imply strong bullish ride

Posted on July 19, 2018 at 6:42 am GMT

USDJPY penetrated the downward sloping channel to the upside during the preceding week, implying that a sharp bullish movement is coming. However, over Wednesday’s session, the price posted a bearish doji candle after it hit a six-month high of 113.12, giving the possibility for a downward correction in the near term. The short-term technical indicators are endorsing the scenario for a rising movement. In the daily timeframe, the RSI indicator is holding within the overbought zone but has been flattening over the past few sessions, [..]

Technical Analysis – EURJPY fairly bearish; holds below 2-month high near 132.00

Posted on July 18, 2018 at 9:32 am GMT

EURJPY started an aggressive bearish rally today after it reached a two-month high of 131.97 on Tuesday. The sharp sell-off creates a new structure of downward correction in the pair as it also fell below the 20-day simple moving average (SMA) in the near-term. The momentum indicators, in the 4-hour chart, are supportive of the bearish picture, with the RSI falling towards the threshold of 50 with strong movement, while the MACD oscillator is slipping below its trigger line and is approaching the [..]

Japanese inflation to nudge up as BoJ considers cutting forecasts – Forex News Preview

Posted on July 18, 2018 at 9:13 am GMT

Inflation numbers for June will be watched out of Japan on Friday (Thursday, 23:30 GMT) ahead of the Bank of Japan’s policy meeting at the end of July. With progress towards meeting its 2% inflation target having stalled, the central bank might find some relief from an expected upward tick in core CPI. However, any acceleration in price growth is unlikely to be in enough in preventing the BoJ from lowering its inflation outlook when it meets later this month. [..]

Technical Analysis – GBPUSD turns to sideways channel in Bollinger Band; neutral bias in short term

Posted on July 17, 2018 at 6:36 am GMT

GBPUSD has been trading in a neutral mode over the last couple of days after the rebound on the lower Bollinger Band near 1.3100 on July 13. The price seems to be losing its strong negative momentum as the Bollinger Band is narrowing and suggests that the next movement will be sideways. It is worth mentioning that the cable is still developing below the 23.6% Fibonacci retracement of the downleg from 1.4375 to 1.3050, around 1.3360. In the daily timeframe, the technical indicators are recommending [..]

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