Technical Analysis / Page 173

Technical Analysis – NZDUSD bulls face big challenge around 0.6500

Posted on January 18, 2023 at 8:44 am GMT

NZDUSD continues to rise above the Ichimoku cloud and the short-term simple moving averages (SMAs), remaining above the long-term downtrend line. According to the MACD, positive momentum could push for further gains as the indicator picks up steam above its red signal line. The RSI is also advancing, though, it is relatively close to the 70 overbought threshold. More increases could drive the market towards the six-month high of 0.6512 ahead of the 0.6570 barrier, registered on May 29. Even higher, the price [..]

Technical Analysis – USDJPY remains suppressed by restrictive trendline

Posted on January 18, 2023 at 8:28 am GMT

USDJPY realized massive gains in the past year, marching to a 32-year high of 151.94 in mid-October. Nevertheless, the pair has been experiencing a prolonged pullback since then, with the price hitting a fresh seven-month low of 127.21 before recouping some losses. The momentum indicators currently suggest that bearish pressures are subsiding. Specifically, the RSI is ascending steeply but remains below the 50-neutral mark, while the stochastic oscillator is edging higher after posting a bullish cross in the oversold zone. Should [..]

Technical Analysis – CADJPY exposed to more downside ahead of Canadian CPI

Posted on January 17, 2023 at 9:12 am GMT

CADJPY turned gently upwards after its latest aggressive downfall halted around the 95.00 round level. There is potential for more upside as the RSI and the MACD keep making higher lows despite the negative trajectory in the price, showing bullish divergence. Yet, whether the bulls have enough fuel in the tank to stretch above the two resistance trendlines at 96.00 and 97.40 respectively remains to be seen. In trend signals, the bearish cross between the 50- and 200-day simple moving averages (SMAs) is endorsing [..]

Technical Analysis – JP225 cash index trades in tight range as SMA convergence flashing red

Posted on January 17, 2023 at 8:47 am GMT

The JP225 cash index has had a muted start in 2023 compared to other equity indices. It is trading in the tight 25,603-26,550 range lacking a clear direction. The Average Directional Movement Index (ADX) is currently trading below 25, confirming a trendless market, while the stochastic oscillator is hovering purposelessly around the 20-level mark. However, a strong signal appears to be developing in the market. The degree of convergence of the simple moving averages (SMAs) might not go unnoticed by market participants. If one [..]

Technical Analysis – GBPUSD edges higher after completing golden cross

Posted on January 17, 2023 at 8:23 am GMT

GBPUSD has been attempting a rebound since September when the pair recorded an all-time low of 1.0324. Even though the price experienced a minor pullback after its advance got rejected at 1.2445, the recent completion of a golden cross between the 50- and 200-day simple moving averages (SMAs) has induced upside pressure. The short-term oscillators currently suggest that bullish forces are reigning supreme. Specifically, the RSI is hovering above its 50-neutral mark, while the MACD histogram is strengthening above both zero and its [..]

Technical Analysis – EURGBP lacks clear direction as it remains below 0.8900

Posted on January 17, 2023 at 8:01 am GMT

EURGBP is testing the 0.8895 resistance level, remaining well above the short-term simple moving averages (SMAs). Moreover, the price rebounded after it found support near the 0.8830 barrier, enhancing the argument that the picture may turn positive. Looking at momentum oscillators on the daily chart, though, they suggest some declines may be on the cards in the short-term. The RSI is above its neutral 50 line but is pointing down, detecting negative momentum. The MACD is trying to overcome its trigger [..]

Technical Analysis – USDJPY rebounds but stays in downtrend

Posted on January 16, 2023 at 4:04 pm GMT

USDJPY has been trading slightly higher today as, despite last week’s strong slide, the bears failed to touch the low of May 24 at 126.35. Overall, though, the pair continues to trade below the downtrend line drawn from the high of October 21, as well as below all the plotted exponential moving averages. All these technical signs paint a negative near-term picture. The short-term oscillators suggest that the recovery may continue for a while longer before the bears decide to jump into [..]

Technical Analysis – US 500 index tests downtrend line and moves lower

Posted on January 16, 2023 at 11:18 am GMT

The US 500 is finding strong resistance near the long-term declining trend line which encapsulates the peaks from January 2022. Also, the price successfully jumped above the 200-day simple moving average (SMA) and the bullish crossover within the 50- and the 100-day SMAs. The MACD is still moving above its trigger and zero lines, while the RSI is heading south in the bullish area. Immediate support to further declines may be taking place around the 200-day SMA at 3,960 before [..]

Technical Analysis – EURUSD storms to a fresh 8-month high

Posted on January 16, 2023 at 8:52 am GMT

EURUSD has been attempting a strong rebound since early October when its steep downtrend came to a halt at the 20-year low of 0.9535. In the last couple of daily sessions, the pair recorded a fresh 8-month peak, extending its medium-term pattern of higher highs and higher lows. The momentum indicators currently suggest that bullish forces are in control. Specifically, the RSI has flatlined in the positive region, while the MACD histogram is strengthening above both zero and its red signal [..]

Technical Analysis – Gold slips from almost 9-month high

Posted on January 16, 2023 at 8:24 am GMT

Gold prices are retreating after the rally towards a fresh almost-nine-month high of 1,928, holding well above the short-term upward sloping channel, suggesting more aggressive buying interest. The MACD oscillator is extending the positive momentum above its trigger and zero lines; however, the RSI is ticking down in the overbought region, indicating a bearish correction. Immediate support is being provided by the 1,880-1,890 region before resting near the 20-day simple moving average (SMA) currently at 1,840. However, should prices dip [..]

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