Technical Analysis / Page 154

Technical Analysis – JP225 cash index could see a sizeable move soon

Posted on March 21, 2023 at 8:28 am GMT

The JP225 cash index is trying to stay in the green as volatility today is lower following a short period of extreme market movements. The index remains below the 38.2% Fibonacci retracement level of the March 8, 2022 – August 17, 2022 uptrend of 27,423. More importantly, there is an impressive convergence of the 50-, 100- and 200-day simple moving averages (SMAs) taking place that, in our book, is a signal for a sizable move coming soon. The Average Directional Movement Index (ADX) [..]

Technical Analysis – GBPUSD retests 1.2270 but outlook still neutral

Posted on March 21, 2023 at 7:59 am GMT

GBPUSD is struggling to surpass the 1.2270 resistance level but successfully jumped above the short-term simple moving averages (SMAs), which are hovering in the middle of the medium-term trading range of 1.1800-1.2450. Short-term momentum indicators are also pointing to a continuation of the neutral-to-negative bias. The stochastic is well above the overbought level but is flattening, suggesting some losses, while the RSI is moving slightly lower in the bullish region. Should prices reverse lower, immediate support could come from the [..]

Technical Analysis – US 500 index hovers around 200-day SMA

Posted on March 20, 2023 at 1:55 pm GMT

The US 500 stock index (cash) experienced a significant pullback after its advance got rejected at the 4,195 region. Even though the price bounced off the 3,812 zone and attempted a rebound, the 200-day simple moving average (SMA) has repeatedly curbed the upside. The short-term oscillators currently suggest that bearish forces are in control. Specifically, the RSI has flatlined below its 50-neutral mark, while the MACD histogram remains below both zero and its red signal line. What’s more, the US 500 index has respected [..]

Weekly Technical Analysis – USDJPY, GBPUSD, USDCHF

Posted on March 20, 2023 at 10:22 am GMT

This week the highlight will be on the Fed interest rate decision, the BoE meeting as well as on the SNB decision and the focus would turn on how USDJPY, GBPUSD and USDCHF may react. Fed interest rate decision → USDJPY Fed officials will face a tough choice on Wednesday to protect the US financial system or battle inflation. The Fed is expected to raise rates by a quarter-point next week, with a 20% chance of doing nothing. Markets expect rate cuts [..]

Technical Analysis – Gold jumps above crucial $2,000 mark

Posted on March 20, 2023 at 8:45 am GMT

Gold has been in a steep uptrend since early March due to the ongoing turmoil in the global banking sector. In today’s session, bullion managed to rise above the 2,000 psychological mark for the first time in a year, eyeing the peaks observed after the Russian invasion of Ukraine. The momentum indicators currently suggest that the recent rally could be overstretched as both the RSI and the MACD histogram are strengthening well within their overbought territories. Hence, a potential downside correction may be on the [..]

Technical Analysis – EURUSD holds above long-term support trendline; neutral in short-term

Posted on March 20, 2023 at 8:30 am GMT

EURUSD has been in a consolidating mode since February 6 and is holding within the 20- and the 50-day simple moving averages (SMAs). Also, the 23.6% Fibonacci retracement level of the upward wave from 0.9535 to 1.1030 at 1.0680 is acting as strong resistance for the bulls. However, in the longer timeframe, the pair is still bullish as it is holding above the uptrend line, drawn on September 28. From the technical perspective, the MACD oscillator is holding slightly above [..]

Technical Analysis – Silver bulls are still hungry, but the technical picture is complicated

Posted on March 17, 2023 at 1:44 pm GMT

Silver appears to have found a new balance around the 21.70 area, recovering somewhat from the 4-month low of 19.88 recorded on March 10. This area has been a thorn in the bulls’ side in both the June-July 2022 and November 2022 periods, with an upside breakout eventually taking place. At this juncture, the silver bulls are facing strong resistance from the trifecta of the 50% Fibonacci retracement of March 8 – September 1 downtrend and the 50- and 100-day [..]

Technical Analysis – AUDJPY seems to be establishing a new range

Posted on March 17, 2023 at 10:12 am GMT

AUDJPY came under buying interest yesterday from near the 87.25 zone, which offered support on December 20 and January 3, as well as back on May 12. In the bigger picture, the pair seems to be trading in a trendless mode, establishing a new sideways range between that area and the 93.00 hurdle. The moving averages are lying above the current price, but in a sideways action it may be more prudent to rely on momentum studies, like the RSI and [..]

Technical Analysis – GBPJPY vulnerable despite upside correction

Posted on March 17, 2023 at 8:39 am GMT

GBPJPY bounced back into the upward-sloping channel to close with moderate gains following the freefall to a one-month low of 158.54 on Thursday. The 38.2% Fibonacci retracement of the 172.10-155.34 downleg resumed its resistance role, curtaining the bullish momentum around 161.75. While the price keeps testing that level today, the technical indicators are dampening hopes for a meaningful rally; the MACD is gradually easing below its red signal line; the RSI has inched back below its 50 neutral mark, while the [..]

Technical Analysis – USDCAD stuck in range after advance gets rejected

Posted on March 17, 2023 at 8:08 am GMT

USDCAD has been in a steady uptrend after bouncing off its 2023 low of 1.3262 in late January. However, the pair experienced a pullback and has been trading sideways since the 1.3850 ceiling capped its upside trajectory. The short-term oscillators currently suggest that the positive momentum is waning but the bears have not taken control yet. Specifically, the RSI is pointing downwards above its 50-neutral mark, while the MACD histogram has softened below its red signal line in the positive region. [..]

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