Technical Analysis / Page 343

Technical Analysis – Gold advances above 1,800; market structure still neutral

Posted on August 30, 2021 at 10:21 am GMT

Gold set a nice foothold around the 20-day simple moving average (SMA) and sped up to close above a short-term resistance trendline and the 200-day SMA on Friday. The neutral market structure, however, is still intact and only a rally above the 1,835 ceiling would raise confidence in the ongoing upward move. Encouragingly, the RSI continues to trend upwards above its 50 neutral level and the MACD has finally entered the positive territory, boosting optimism the recent bullish appetite in [..]

Technical Analysis – EURUSD moves to the next obstacle after trendline breakout

Posted on August 30, 2021 at 7:30 am GMT

EURUSD closed decisively above the two-month-old resistance trendline and the 20-day simple moving average (SMA) on Friday following some dovish remarks from Fed Chair Jerome Powell at the Jackson Hole symposium. The trendline breakout, which sent the price as high as 1.1809 on Monday, raised optimism that the latest rebound could see further continuation. Yet, another challenge needs to be addressed to confirm additional upside corrections. Specifically, the price needs to overcome the 23.6% Fibonacci retracement of the 1.2265 – 1.1663 [..]

Technical Analysis – GBPJPY lacks bullish signals despite rebound

Posted on August 27, 2021 at 10:20 am GMT

GBPJPY has been in recovery mode this week, partially erasing last week’s losses thanks to the bounce on the long-term dashed ascending trendline, which has been supporting the market since the 2020 freefall. The 38.2% Fibonacci retracement of the latest down leg at 151.35 currently accompanied by the 20-day simple moving average (SMA) remains the main obstacle to upside movements for another week as the RSI and the MACD continue to fluctuate in the bearish area despite the recent improvement. [..]

Technical Analysis – USDCAD gains on trendline support

Posted on August 27, 2021 at 8:10 am GMT

USDCAD stepped decisively on the ascending trendline, which has been supporting the market since the drop to a 3 ½-year low of 1.2006 in May, and drifted northwards to hit resistance within the 1.2680 – 1.2700 zone. The cheerful upside correction in the price was not strong enough to drive the MACD above its red signal line, while the rebound in the RSI seems fragile as the indicator is currently pointing to the downside again. That said, the inverted hammer candlestick which preceded yesterday’s [..]

Technical Analysis – EURUSD maintains positive bias but risk tilted to the downside

Posted on August 26, 2021 at 4:00 pm GMT

EURUSD has recovered substantially from Friday’s 9½-month trough of 1.1663, climbing back above its 20- and 50-period moving averages (MA) in the four-hour chart. However, the stochastics are signalling weakening momentum in the very near term, with both the %K and %D lines pointing downwards. The MACD histogram has also been easing in the last few sessions, but it is just about holding above its red signal line and remains comfortably above zero, suggesting the current rebound probably has further [..]

Technical Analysis – WTI Oil Futures rebound stumbles at 68.00; upside may be over

Posted on August 26, 2021 at 2:19 pm GMT

WTI oil futures are struggling to maintain their positive momentum after meeting resistance in the 68.00 area. The rebound from Monday’s three-month low of 61.77 appears to be stalling with prices testing the 20-day moving average (MA) around 67.55 today. Looking at the momentum indicators, the stochastics are still rising but the %K line appears to be peaking within the overbought zone, signalling weakening positive bias in the near term. The RSI, however, might be levelling off even before surpassing [..]

Technical Analysis – EURGBP finds support near trendline; next resistance at 0.8568

Posted on August 26, 2021 at 9:54 am GMT

EURGBP refused to close below the 50-period simple moving average (SMA) in the four-hour chart and the supportive trendline, raising optimism that the upward pattern could see further continuation even if the flattening SMAs are providing little hope for an uptrend improvement at the moment. The 0.8568 level is the nearest barrier, which the bulls need to successfully overcome in order to rally towards the previous peak of 0.8592 and the 61.8% Fibonacci of the 0.8668 – 0.8449 downleg. But [..]

Technical Analysis – AUDUSD advances towards familiar resistance

Posted on August 26, 2021 at 7:10 am GMT

AUDUSD has been on the rise since the confirmation of a bullish morning star candlestick pattern, which foresaw the start of a new bullish round last Friday, but another challenge is currently displaying on the radar. Particularly, the price needs to close decisively above the 20-day simple moving average (SMA) at 0.7298, which has been cancelling upside pressures since the end of May. Of note, the RSI continues to fluctuate below its 50 neutral mark, failing to print higher highs despite its recent [..]

Technical Analysis – Copper futures pause near key resistance after quick bounce

Posted on August 25, 2021 at 1:37 pm GMT

Copper futures (December delivery) are making a second attempt to conquer the 4.292 level, which is the 50% Fibonacci retracement of the 4.622 -3.962 down leg, following yesterday’s rejection in the area. The advance in the RSI has yet to confirm overbought conditions in the four-hour chart and the positive momentum in the MACD is an encouraging sign that the bulls could dominate in the short term. However, a successful passage above the 4.292 barrier could be mandatory for the [..]

Technical Analysis – USDJPY rangebound between trendlines

Posted on August 25, 2021 at 7:59 am GMT

USDJPY is in a consolidation phase between two converging trendlines in the four-hour chart, moving sideways within the 110.21 – 109.40 area over the past week. Encouragingly, the lower trendline managed to add strong footing under the price on Tuesday at 109.40, raising speculation that the pair could sail northwards again, but the 38.2% Fibonacci retracement of the 111.65 – 108.71 down leg came immediately to block the way higher on Wednesday at 109.83. The momentum indicators are currently providing little hope [..]

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.

Technical Analysis

XM Live Chat