forex

Technical Analysis – USDJPY moves within a symmetrical triangle; risk neutral to bearish

Posted on December 6, 2018 at 8:01 am GMT

USDJPY seems to be moving within a symmetrical triangle in the daily chart, creating lower highs and higher lows. In the short term, momentum indicators suggest that the bias is neutral to bearish as the RSI hovers marginally below its neutral threshold of 50, while the MACD has already crossed below its red signal line but continues to hold above zero. A significant step below 112.56 and therefore out of the triangle would increase speculation that further negative corrections might [..]

Technical Analysis – EURJPY remains in sideways channel; fails to create clear tendency

Posted on December 5, 2018 at 9:46 am GMT

EURJPY has been developing within a sideways channel over the last month, with upper boundary the 129.28 resistance barrier, and lower boundary the 127.60 support level. Currently, the price bounced off the 23.6% Fibonacci retracement level of the downleg from 133.10 to 126.60, around 128.15. Technically, in the 4-hour chart, the RSI indicator is moving slightly higher below the threshold of 50, while the stochastic oscillator is moving higher after the bullish crossover within the %K and %D lines. However, if prices remain [..]

Technical Analysis – AUDUSD stops at 4-month highs; positive risks not faded yet

Posted on December 5, 2018 at 7:50 am GMT

AUDUSD reached overbought levels according to the RSI and reversed lower just before touching the 200-day simple moving average (SMA) on the daily chart, creating a new peak at 0.7392, a four-month high. While the aforementioned technical indicator continues to slow down, mirroring the market’s bearish behavior over the past three days, the indicator is still moving in bullish territory, flagging that a recovery could reemerge in the short term. The MACD is also holding above its red signal line, which supports the bullish view [..]

Technical Analysis – USDTRY unlocks 2-week high, creating significant gains

Posted on December 4, 2018 at 2:15 pm GMT

USDTRY strengthened sharply today, climbing to a new two-week high, around 5.3653, extending its run from the pullback on 5.1330. The bullish picture in the very short-term is further supported by the RSI, which is rising above the 50 level and the stochastic oscillator hovers in the overbought territory. Also, the price advances above the 20- and 40-simple moving averages (SMAs) in the 4-hour chart. In the event of further upside reversal, the 5.4360 could act as a barrier before being [..]

Technical Analysis – EURGBP remains neutral in short and long term

Posted on December 4, 2018 at 12:23 pm GMT

EURGBP has had a strong bearish rally this morning after the bounce off the 0.8940 resistance level. Neutral to negative risks remain in the background as the RSI decreases momentum to the downside in the positive region, while the %K line of the stochastic oscillator turned lower and is ready to create a bearish cross with the %D line in the oversold zone. A decline in the price may retest the 20- and 40-simple moving averages (SMAs), which hold near [..]

Technical Analysis – GBPAUD opens with negative gap and reaches 11-month trough

Posted on December 3, 2018 at 10:27 am GMT

GBPAUD opened the day with a significant negative gap, reaching a new eleven-month low around 1.7250. The MACD is warning that further losses could follow up as the indicator keeps losing momentum below its red signal line, however with the RSI being ready to cross below 30 into oversold area, chances for a rebound are running high. A significant leg lower would violate the 50.0% Fibonacci of 1.7223, probably hitting support at 1.7090, taken from the low on January 11. The next stop for investors to [..]

ISM Manufacturing PMI to tick up in November – Forex News Preview

Posted on November 30, 2018 at 2:40 pm GMT

The ISM manufacturing index, a closely watched indicator for US factory activity and thus a growth barometer will come into the light on Monday at 1500 GMT. The figure is expected to show that manufacturers regained some lost ground in November, retaining the streak of overall robust growth for months now. An upbeat report could reflect that the US is expanding at a healthy pace in the final quarter despite trade frictions and a slowing global economy. According to forecasts, the ISM manufacturing PMI has risen a little bit in November [..]

Technical Analysis – GBPJPY trades in upward sloping channel in near-term but lacks long-term direction

Posted on November 30, 2018 at 9:43 am GMT

GBPJPY has been developing within an upward sloping channel over the last couple weeks, following the bounce off the 144.00 support level. Moreover, in the daily chart the pair remains in a consolidation area over the last three months with upper boundary the 149.50 resistance and lower boundary the 142.75 support. Looking at the short-term indicators, the RSI is pointing marginally up in the positive area, while the stochastic oscillator is moving higher, approaching the 80 level. If there is [..]

Technical Analysis – USDCAD hovers below 5-month high; bullish in short- and long- term

Posted on November 30, 2018 at 7:08 am GMT

USDCAD returned some of the gains that posted on November 28, completing a five-month high around 1.3360. The pair has been trading in an ascending movement over the last almost two months, but in case of a penetration of the trend line it could move lower in the near term. Also, when looking at the bigger picture the pair has a clear upside trend after its rebound on the 1.2060 support level. From the technical point of view, the RSI indicator is flattening in positive territory, failing [..]

Technical Analysis – AUDCAD hits 4-month high; medium-term structure tilts bullish

Posted on November 29, 2018 at 2:00 pm GMT

AUDCAD staged a strong rebound after falling to 0.9104 in early October, this being its lowest since July 2010. Earlier on Thursday, it touched a four-month high of 0.9748. The positively aligned Tenkan and Kijun-sen lines, as well as the rising RSI, are attesting to the bullish short-term bias that is in place. The RSI has entered overbought territory though. This implies that the late rally may be overstretched, which in turn translates into increased odds for a near-term pullback. [..]

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