forex

Technical Analysis – GBPUSD sees strengthening bullish momentum in near-term

Posted on December 29, 2017 at 10:17 am GMT

GBPUSD is edging sharply higher since last Wednesday, adding around 1% relative to Tuesday’s close and being well on track to post its fourth green day in a row. The price is still trading comfortably above the ascending trend line, which is roughly holding since March and is currently approaching the next immediate resistance level at 1.3550. The current risk is to the upside and the price could extend its gains to the 1.3655 barrier. On the downside, support could come around 1.33, this being an area of congestion recently as well as one [..]

Technical Analysis – EURUSD extends its gains; prints 1-month high near 1.1960

Posted on December 29, 2017 at 9:06 am GMT

EURUSD is posting a strong bullish rally over the last two trading days and reached a fresh one-month high of 1.1968 during today’s European morning session. In the short- to medium-term timeframe, the price is consolidating within a one-month narrow range with an upper boundary the 1.1960 resistance level and a lower boundary the 1.1710 support level. Now looks increasingly likely that the pair would extend its gains above the upper bound of its range. If the price successfully surpasses the aforementioned obstacle [..]

Technical Analysis – Gold continues to rise, reaching new monthly high

Posted on December 29, 2017 at 7:08 am GMT

Gold rose to a new one-month high after extending a rally that started from the 1240 area on December 12. The bullish bias is strong in the short term but in the bigger picture, the precious metal remains in a range, essentially between key psychological levels of 1200 and 1300. Risk is clearly tilted to the upside in the near term and the next target is 1300, which is seen to be a strong resistance level. It would likely be [..]

Technical Analysis – USDCAD shifts to bearish bias as it breaks below 2-month range

Posted on December 28, 2017 at 3:19 pm GMT

USDCAD is shifting to a bearish bias as it breaks out of a 2-month range after finding a strong resistance area formed by the upper bound of the range and the 200-day moving average as well as the 50% Fibonacci of the downleg from 1.3793 to 1.2061. RSI is falling sharply, indicating downside momentum is strong, leaving scope for a further extension lower towards another support zone that includes the key 1.3000 level and 1.2463 (23.6% Fibonacci), as well as [..]

Technical Analysis – USDCAD loses some ground; records 2-month low

Posted on December 28, 2017 at 10:29 am GMT

USDCAD extended its losses as the Canadian dollar posted a bullish rally. The pair is falling for the sixth straight trading day and has plummeted more than 2% since December 20. Additionally, the price recorded a new 2-month low at 1.2604 during the European session and slipped beneath the narrow range with an upper boundary at 1.2915 and a lower boundary at 1.2665 in Wednesday’s session. The range was holding in the last two months and after the drop, the price is testing the 100-day simple [..]

Technical Analysis – Outlook 2018: AUDUSD remains above strong rising trend line; more gains are expected

Posted on December 28, 2017 at 10:24 am GMT

AUDUSD is trying to snap the four-monthly losing period as it is posting a positive December, surging more than 2.6% so far. The pair almost tested the ascending trend line, which is holding since last year, at the beginning of the month and is recouping some of its previous month’s losses. In addition, the price found as strong support the 50% Fibonacci retracement level, near 0.7475, with the low at 0.6820 and the high at 0.8125, and is moving towards [..]

Technical Analysis – Outlook 2018: NZDUSD must surpass significant obstacles for continuation of upward rally

Posted on December 28, 2017 at 10:19 am GMT

NZDUSD has been in a long-term uptrend but has also recorded significant downward corrections. The price rose more than 58% from January 2001 until August 2011 and hit its highest level through these years at the 0.8840 resistance barrier. From the technical point of view, on a monthly basis, the stochastic oscillator is ready for a slight upward slope after its entry in the oversold area, signaling an upwards correction. Moreover, the Relative Strength Index (RSI) is moving north but [..]

Technical Analysis – Outlook 2018: USDCAD in long-term upward reversal; further short-term bearish correction before gains

Posted on December 28, 2017 at 10:16 am GMT

USDCAD has been developing within a rounding bottom pattern since 2009 until the end of 2015. Rounding bottom is a reversal pattern and as the previous trend was a downtrend, the expectation is for a rising movement on a long-term basis. During January 2016, the pair recorded a fresh 13-year high at 1.4690 and then started a retracement to the downside with a new 2-year low at 1.2040. Remaining on the monthly chart, the next resistance to have in mind [..]

Technical Analysis – AUDUSD in bullish phase at 2-month high

Posted on December 28, 2017 at 7:50 am GMT

AUDUSD is in a bullish phase in the short term after a strong rally off the key 0.7500 area was extended up to a 2-month high. The recent rebound in AUDUSD has room to extend towards 0.7900 since prices crossed above the 200-day moving average and RSI is rising. However, the stochastic is overbought, which suggests prices could risk pulling back. The market is currently testing the key 0.7800 level. A daily close above it would help keep momentum to [..]

Technical Analysis – AUDCHF posts almost two-month high, endorses the bullish move

Posted on December 27, 2017 at 3:28 pm GMT

AUDCHF has had a strong bullish run since last Wednesday and printed four green daily sessions in a row. The price surged more than 1.7% after the pullback to the 0.7530 support level and during the European period hit an almost two-month high at 0.7693. The strong up-move happened after a break of the 0.7605 critical level, which coincides with the 100-day simple moving average and has shifted the bias to the upside. Short to medium-term trend indicators on the daily chart (50, 100 and 100-period [..]

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