Technical Analysis / Page 179

Technical Analysis – USDJPY rises, but outlook still cloudy

Posted on December 28, 2022 at 8:32 am GMT

USDJPY is set for another green day, being halfway below last week’s pre-crash levels at 133.80. The price has been gradually gaining ground over the past couple of sessions, with the RSI and the stochastics endorsing the improvement in sentiment as the indicators changed direction to the upside. That said, the crucial resistance trendline drawn from October’s peak is coming again on the radar, threatening a new bearish episode near the 20-day simple moving average (SMA) at 135.40. The 200-day SMA could [..]

Technical Analysis – USDJPY tiptoes higher within caution area

Posted on December 27, 2022 at 10:54 am GMT

USDJPY has tiptoed higher following the collapse to a four-month low of 130.55 last Tuesday, with traders currently waiting for a break above the key 133.30 level to increase exposure in the market. The area represents the 50% Fibonacci retracement of the March-October uptrend. While the latest recovery in momentum indicators endorses the positive action in the market, some caution is required as the RSI is still testing its 50 neutral mark. Moreover, the MACD has yet to enter the positive area, [..]

Technical Analysis – US 500 cash index gaps higher; move could have legs

Posted on December 27, 2022 at 9:24 am GMT

US 500 cash index has gapped higher today amidst a lower liquidity session, quickly rebounding from the 2-month low print of 3,763 seen on December 22. The festive lull is potentially muddling the trading conditions, but there seems to be increasing evidence that today’s move could have legs. While both the RSI and Average Directional Movement Index (ADX) are currently not giving away a strong signal, the same cannot be said for the stochastic oscillator. It seems to be offering [..]

Technical Analysis – EURUSD range bound during post-Christmas session

Posted on December 27, 2022 at 9:17 am GMT

EURUSD kept fighting the tough 1.0658 nearby resistance during the post-Christmas trading session, which has been capping bullish actions for more than a week. The floor around 1.0580, if sustained, may preserve engagement in the market in the short term. Technically, the bullish cross between the faster 20-day exponential moving average (EMA) and the slower 200-day EMA is feeding hopes that the uptrend from 20-year lows may gain extra legs. Yet, with the RSI maintaining a sideways trajectory near its 70 [..]

Technical Analysis – Gold consolidates around 1,800 as recovery fades

Posted on December 27, 2022 at 9:11 am GMT

Gold had been trading within a descending channel for the most part of 2022 but has managed to stage a moderate rebound since early November. Even though the precious metal has crossed above both its 50- and 200-day simple moving averages (SMAs), its advance seems to be running out of juice. The momentum indicators are reflecting a loss of positive momentum. Specifically, the MACD histogram is retreating below its red signal line in the positive region, while the stochastic oscillator is pointing downwards after [..]

Technical Analysis – Does the correction in GBPCAD have legs?

Posted on December 23, 2022 at 10:35 am GMT

GBPCAD has been correcting in the last few trading sessions following an aggressive move higher that pushed it to 1.6818, the highest print since mid-March. Failure to break above 1.6862 appears to have tipped the balance in favour of the bears, as GBPCAD has returned below the October 4 upward sloping trendline. From the bulls’ perspective, the latest pullback could be seen as a mere correction. GBPCAD has recorded a pattern of higher highs and higher lows since September 26, and the current [..]

Technical Analysis – USDCAD moves sideways in a tight range

Posted on December 23, 2022 at 8:34 am GMT

USDCAD has been moving sideways over the last three weeks within a tight range with the upper boundary at the 1.3700 psychological mark and the 1.3510 support level. In trend indicators the 20-and 50-day simple moving average (SMAs) posted a bullish crossover, suggesting more upside moves. However, the MACD oscillator is moving sideways above the zero level, while the RSI is pointing slightly down in the positive region, indicating a weak bias. If the market extends its gains above the 1.3700 mark, [..]

Technical Analysis – GBPJPY trades sideways after massive decline pauses

Posted on December 23, 2022 at 8:11 am GMT

GBPJPY had been in an uptrend since late September, with the price posting a fresh 6½-year high of 172.10. However, after a period of consolidation, the pair experienced a huge downward spike on the back of the BoJ’s surprise decision and has been rangebound since then. The momentum indicators suggest that bearish forces are intensifying. Specifically, the MACD histogram is extending its decline below both zero and its red signal line, while the stochastic oscillator is sloping downwards within the [..]

Technical Analysis – US 100 index returns to the red zone

Posted on December 22, 2022 at 4:29 pm GMT

The US 100 stock index (cash) saw its fortunes diminish after the aggressive pullback from the upper resistance trendline at 12,200. Its failure to climb back above the nearby dashed trendline at 11,270 added more clouds to the market today. While the clear negative trajectory in the RSI and the MACD justifies the current bearish mood, the oversold signals coming from the stochastics provide a ray of hope that a rebound could be possible. This optimism may evaporate if the index [..]

Technical Analysis – US 30 index edges slightly lower as festive lull prepares to kick in

Posted on December 22, 2022 at 10:31 am GMT

The US 30 cash index prepares for the last sessions before the festive mood kicks in. It is currently hovering around 33,350 following the local trough of 32,475 seen on December 20. The short-term bearish trend since early December appears to be in control but the momentum indicators are less enthusiastic. The RSI is exactly at the 50-level threshold while the Average Directional Movement Index (ADX) and its subcomponents show little appetite for trend signaling at this juncture. Interestingly, the [..]

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