Technical Analysis / Page 118

Weekly Technical Analysis – EURUSD, GBPJPY, USDCAD

Posted on June 26, 2023 at 9:30 am GMT

There are no central bank decisions on this week’s agenda, but we do get several data releases that could well affect expectations surrounding monetary policy. The main events this week are likely to be the Eurozone’s preliminary CPIs. Japan’s Tokyo CPIs, and the US core PCE index. So, we will be looking at how EURUSD, GBPJPY and USDCAD may perform. Eurozone CPIs -> EURUSD On Friday, preliminary data from the Eurozone are forecast to show that inflation slowed further in June, something that [..]

Technical Analysis – US 500 stock index stays heavy but could be poised for a rebound

Posted on June 26, 2023 at 8:48 am GMT

US 500 stock index (cash) is extending its slide from the June 16 high of 4,446.77, but the negative momentum appears to be weakening somewhat as the price approaches the 20-day simple moving average (SMA). Technical indicators continue to point to a bearish bias in the near term but there are some early signs that the selling pressure is subsiding. The stochastic oscillator is headed towards the oversold territory, while the RSI’s decline is slowing even before reaching the 50 [..]

Technical Analysis – Gold price takes a breather but bearish pressure persists

Posted on June 26, 2023 at 7:08 am GMT

Gold is hovering inside the 1,921-1,943 area, a tad above its 3-month low and around 7.5% lower than the May 5, 2023 high of 2,079. The bulls are anxiously trying to put a temporary stop to the current short-term bearish trend and the bearish series of lower highs and lower lows. The momentum indicators are still mostly on the bears’ side. The Average Directional Movement Index (ADX) is pointing to a bearish trend, the strongest one since the February-March 2023 correction, [..]

Technical Analysis – USDCAD retreats to 9-month low, confirming bearish breakout

Posted on June 23, 2023 at 7:49 am GMT

USDCAD has been in a steady downtrend since late May, generating a clear structure of lower highs and lower lows. Moreover, the technical picture deteriorated even further when the price broke below the base of the symmetrical triangle pattern, which triggered a massive decline towards a fresh 9-month low of 1.3137. The momentum indicators currently suggest that near-term risks are tilted to the downside. Specifically, the RSI bounced off the oversold zone but remains deep in the negative territory, while the [..]

Technical Analysis – GBPJPY rally continues unabated for now

Posted on June 23, 2023 at 7:16 am GMT

GBPJPY bulls continue to pursue higher highs as they are currently trying to stage a move above the recent 182.54 high. This is the strongest print for 7.5 years and stands 16% higher than the start of the current upleg on March 23, 2023. This move has been exponential, revealing the bulls’ determination but also making this rally susceptible to corrections. We have not seen a correction yet, but it will probably be a sizeable one when it finally occurs. [..]

Technical Analysis – Gold tests nearby support; outlook discouraging

Posted on June 22, 2023 at 11:19 am GMT

Gold is repeating yesterday’s test of the descending line at 1,926, which helped the price stay afloat above the three-month low of 1,934. Sentiment remains poor in the four-hour chart. The RSI is hovering around its 30 oversold mark, increasing speculation that the price could change direction to the upside soon, but the downturn in the stochastic oscillator and the falling MACD are reducing the odds for a proper rebound as the price deviates below its simple moving averages (SMAs). [..]

Technical Analysis – AUDCAD on an aggressive downward path

Posted on June 22, 2023 at 8:11 am GMT

AUDCAD is hovering just below the 0.8927-0.8981 range, and it is ready to test the support set by the January 26, 2023 downward sloping trendline. It has recorded five consecutive red candles; the strongest sell-off since the October 2022 downleg when the pair dropped to the lower level since April 2020. The bears must be feeling confident at this juncture as the momentum indicators are pointing to a potential continuation of the current correction. More specifically, the Average Directional Movement [..]

Technical Analysis – AUDUSD retraces back into rectangle after failed breakout

Posted on June 22, 2023 at 7:49 am GMT

AUDUSD managed to cross above its rectangle pattern and post a fresh four-month peak of 0.6898 in the past week. However, this advance proved to be short-lived and the pair quickly fell back within its recent range, trading flat in the last couple of daily sessions. The momentum indicators are reflecting a loss of positive momentum. The RSI is ticking down slightly above its 50-neutral mark, while the MACD is softening but remains positive and above its red signal line. Should the [..]

Technical Analysis – WTI oil futures stay directionless inside bearish channel

Posted on June 22, 2023 at 7:44 am GMT

WTI oil futures extended their horizontal trajectory within a broad bearish channel for another week, moving back and forth between their 20- and 50-day simple moving averages at 70.89 and 72.86 respectively. The RSI and the MACD are trying to enter the bullish area, though given their previous failed attempts and taking into account the strengthening overbought signals coming from the stochastic oscillator, traders could stay on the sidelines. The 50-day SMA will be closely watched on the upside, though slightly higher, the channel’s upper trendline at 75.00 could [..]

Technical Analysis – US 30 cash index edges lower as bearish pressure intensifies

Posted on June 22, 2023 at 6:48 am GMT

The US 30 cash index has completed five red candles after again failing to decisively rally above 34,280. This level has morphed into a key sentiment area as over the past 10 months the bulls have registered six false breakouts. The US 30 index is currently hovering a tad above the 33,754 level but below the December 2, 2022 downward sloping trendline. The momentum indicators appear to mostly favour the bears at this juncture. While the Average Directional Movement Index (ADX) is [..]

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

How to Access

Telegram Chat Terms

Technical Analysis