Ichimoku cloud

Technical Analysis – US 500 index futures turn neutral, move into cloud

Posted on May 23, 2016 at 1:50 pm GMT

The US 500 stock index futures has been losing momentum since the February-April rally came to a halt in late April. The index has been moving towards the ascending Ichimoku cloud in the past few days, with the 50-day moving average acting as a resistance since prices slipped below it, while the top of the cloud has been providing support. The near-term bias is neutral as RSI is flat just below 50 and the MACD signal line is levelling off [..]

Technical Analysis – EURAUD approaches 200-DMA on strong upside momentum

Posted on May 3, 2016 at 7:15 am GMT

EURAUD has seen a strong rally over the past week and this has taken prices above the 50-day moving average and towards the 200-day moving average. The near-term bias is bullish with RSI sharply above 50 and the MACD histogram turning positive. However, with RSI fast approaching overbought territory, there may be limited scope for further strong gains. In the medium term, EURAUD remains within its 8-month range and the neutral outlook is supported by prices moving into the Ichimoku [..]

Technical Analysis – USDJPY finds resistance at 50-DMA

Posted on April 26, 2016 at 9:15 am GMT

USDJPY rallied to a three-week high of 111.86 yen on Monday but the pair’s gains were capped by the 50-day moving average. Prices have eased back below the 111 level today as the upside momentum fades. RSI is trending down but remains above 50, suggesting some positive momentum still in place. The MACD however points to ongoing downward bias for the pair, which is unlikely to shift to positive without a stronger rally. The broader negative outlook is underlined by [..]

Technical Analysis – Silver more bullish after soaring to 11-month high

Posted on April 20, 2016 at 1:34 pm GMT

Silver rallied to a fresh 11-month high of 17.21 on Wednesday, extending its year-to-date gains to 23%. Prices have soared sharply above the Ichimoku cloud and the tenkan-sen and kijun-sen lines are positively aligned. The 200-day moving average has also started trending up following the bullish crossover with the 50-day moving average, and this underlines the positive outlook. The current strong upside momentum could hold for a while longer according to the MACD chart, which does not yet appear to [..]

Technical Analysis – GBPJPY approaches 50-DMA on weakened downside bias

Posted on March 29, 2016 at 2:04 pm GMT

GBPJPY looked set to make its fourth straight day of gains on Tuesday as upside momentum continues to increase. Prices were capped by the bottom of the Ichimoku cloud just below 162.60. Further upside bias could see prices moving into the cloud to challenge the 50-day moving average. A break above the 50-DMA would shift the near term outlook to neutral/positive and the next resistance beyond this level would come at 165. Underlining the current upside momentum are the positively [..]

Technical Analysis – AUDJPY holds on to positive bias above cloud

Posted on March 24, 2016 at 3:05 pm GMT

AUDJPY has held on to its recent gains that saw it rallying above the 50-day moving average and the Ichimoku cloud. The pair has retraced a little more than 50% of the December-February downtrend from 90.71 to 77.57. The 11% rally from the 3½ year-low of 77.57 to the March 14 high 86.40 has shifted the near term bias to a positive one. Both the RSI and the MACD are still in positive territory, though on slightly weakened momentum. The [..]

Technical Analysis – AUDUSD eases from 8-month highs; bias still bullish

Posted on March 9, 2016 at 8:23 am GMT

AUDUSD has retreated from an 8-month high of 0.7484 it set on March 7 but has held on to the 0.74 handle. Prices remain firmly above the 200-day moving average and the Ichimoku cloud but the tenkan-sen and kijun-sen lines are moving sideways, suggesting the bullish bias has lost some steam from the losses of the past two days. This is also evident from the RSI which has come down from overbought levels and is currently flat. But the MACD [..]

Technical Analysis – Oil rises above cloud; bias turns positive

Posted on March 7, 2016 at 8:16 am GMT

US crude oil futures rallied above the Ichimoku cloud last week, rising above it as well as the 50-day moving average for the first time since November 2015. Prices currently stand above 36 – the highest since January 5. The momentum indicators are all positive with RSI moving towards 70 and the MACD turning positive also for the first time since November. This is an indication that there is scope for further gains. Further bullish signals are provided by the [..]

Technical Analysis – German 30-stock index futures rally on upside bias

Posted on February 18, 2016 at 2:39 pm GMT

The German 30-stock index futures extended their week-long rally today on strong upside momentum that saw prices climbing above 9500. The weekly gains have driven the stochastics into overbought territory, indicating possible consolidation or profit taking in the near term. If prices continue to climb higher, they’re likely to find resistance at around 9620, which is a previous closing resistance and support level. Looking at the MACD chart however, the upside bias has not been strong enough to form a [..]

Technical Analysis – US-500 index futures looking bearish below cloud

Posted on January 28, 2016 at 3:05 pm GMT

The US-500 index futures hit a near 2-year low of 1803.90 last week to break below the ‘Black Monday’ low of 1830.40 from August 2015. The index has fallen by about 8% so far this year. It has since bounced back to test the 1900 level today. Near term indicators are pointing to a slight upside bias with RSI attempting to climb towards 50 and the stochastics are holding above 50. In the medium term, the outlook appears increasingly bearish [..]

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.