forex

Technical Analysis – AUDUSD collapses to decade lows after breaking 0.6745

Posted on August 7, 2019 at 7:17 am GMT

AUDUSD managed to clear the 0.6745 support level that kept the bears on hold the past two days, with the price falling rapidly to a new 10 ½-year low of 0.6676 early on Wednesday. The trend signals remain negative as the price has further distanced itself below its negatively sloped simple moving averages (SMA) and the Ichimoku cloud. Yet in momentum indicators, the stochastics and the RSI suggest that the downfall is overstretched and hence the negative momentum could stall in the near term. Immediate resistance [..]

Technical Analysis – AUDJPY collapses to 7-month low; buyers push back

Posted on August 6, 2019 at 3:11 pm GMT

AUDJPY dropped over the last two weeks through lows seen back in June 2016 and May 2010 when excluding January’s Flash crash. Buyers moved the price back up, and it is currently trading in the 72.41 to 71.86 resistance and support barriers respectively. The Chikou span shows some signs of stalling in the powerful move down from the 76.00 hurdle. The ADX suggests a very strong bearish trend in place but warns of some slowing to the downside. The MACD [..]

Technical Analysis – GBPCHF breaks below 138.2% Fibonacci extension, nears October 2016 lows

Posted on August 6, 2019 at 1:16 pm GMT

GBPCHF tumbled from 1.3400 on May 3, after failing to break above a previous ten-month high. The pair paused slightly around the sixteen-month low of 1.2292, before reviving the down move past 1.1864, being the 138.2% Fibo extension level of the up leg from 1.2292 to 1.3420. The MACD indicator crossed underneath its red trigger line in the negative territory and is showing some acceleration of bearish directional momentum. The ADX agrees, suggesting a strong bearish trend is in place, [..]

Technical Analysis – GBPUSD stable near 31-month lows; bears may keep upper hand

Posted on August 6, 2019 at 7:35 am GMT

Last week’s aggressive downfall to a 31-month low of 1.2078 turned GBPUSD players indecisive, with the price sliding sideways within the narrow 1.21-1.22 boundaries and well below moving averages afterwards. Speculations for an upside correction are rising as the fast-Stochastics continue to head north after printing a bullish cross below the 20 oversold mark. The RSI, which hovers around its own 30 oversold level is also suggesting a price reversal. Still, should the MACD show no sign of improvement in coming sessions, [..]

Technical Analysis – EURAUD recoups June-July losses; hits new 7-month high

Posted on August 5, 2019 at 2:46 pm GMT

EURAUD reclaimed the losses of the drop from the 1.6447 high on June 18 to a low of 1.5893 on July 23. The pair rallied with determination, printing eight positive candles and one negative, rising past a five-and-a-half-month high of 1.6447 to a new high, currently at 1.6530. The Tenkan-sen’s gradient implies a strong push up. The MACD has recently moved into the positive region and is above its red trigger line, showing momentum starting to increase in the move [..]

Technical Analysis – USDCHF aggressively breaks swing low; faces uptrend line

Posted on August 5, 2019 at 2:30 pm GMT

USDCHF spiked above the twice tested resistance of 0.9950 and the upper Bollinger band last week, to touch the 200-day simple moving average (SMA). The pair then tumbled through the 0.9900 level, which is the 38.2% Fibo of the down move from 1.0235 to 96.93, before continuing past the 50-, 20- and 14-day SMAs as well as the 0.9820 level, which is the 23.6% Fibo. Sellers then fractured the 0.9805 support and lower Bollinger band, before resting at the uptrend [..]

Technical Analysis – EURUSD bounces off 2-year lows but downside risks remain

Posted on August 5, 2019 at 7:29 am GMT

EURUSD switched to recovery mode after the free-fall towards a more-than-two-year low of 1.1026 last week. But the bearish forces have not faded yet as the RSI continues to move below 50 and the MACD under its red signal line despite showing some improvement. A closing price above 1.1180 and the 20-day simple moving average (SMA) (middle Bollinger band) could bring additional buying interest, with resistance running next up to the 1.1216-1.1232 area where the 50-day SMA is currently laying. Slightly higher, [..]

Technical Analysis – EURNOK rallies above previous swings plotting a week of positive sessions

Posted on August 2, 2019 at 1:55 pm GMT

EURNOK climbed fiercely this week taking back the rest of the losses which occurred from the move south that started the fall from the high of 9.8733 on May 10 to the low of 9.5810, including the high of 9.8733. The 20-day and the 40-day simple moving averages (SMAs) are turning and could cross above the 100-day SMA again to rejuvenate the up move. The momentum indicators confirm the bullish appearance suggested by the pair, as the MACD has crossed [..]

Technical Analysis – EURSEK reverses higher after forming triple bottom; meets resistance at upper Bollinger band

Posted on August 2, 2019 at 12:37 pm GMT

EURSEK rallied after breaking above the 200-day simple moving average (SMA) and the 23.6% Fibo retracement level of the down move from 10.8475 to 10.4845. The price of the pair continued its move breaching the 10.6230 and 10.6360 levels, which are the 38.2% Fibo and resistance from July 9, and completed a triple bottom reversal pattern. The price today jumped above 10.7090 which is the 61.8% Fibo, but sellers have come on board to try for a pullback. Momentum indicators [..]

Technical Analysis – USDJPY dives below 107; short-term bias turns bearish

Posted on August 2, 2019 at 10:30 am GMT

USDJPY came under severe selling pressure on Thursday, with the price quickly exiting the 109 area and sliding below the 107 level early on Friday. The momentum indicators are facing downside pressure as well, framing a bearish bias for the short-term trading. Yet with the RSI and the Stochastics moving closer to the oversold territory, any downfall could be limited. The 78.6% Fibonacci of 105.60 of the upleg from 104.64 to 112.39 could provide nearby support to additional losses. Any [..]

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.

How can we help?

Live Chat Terms