Technical Analysis / Page 425

Technical Analysis – USDCHF sets a floor near fresh 6-year lows; bearish overall

Posted on December 30, 2020 at 1:03 pm GMT

USDCHF, capped by the 20-day simple moving average (SMA), inched down to a new six-year low of 0.8814 on Wednesday. While the recent negative correction resurfaced fears of a stronger downtrend, the 0.8824 support region, which acted as resistance back in January 2015, continues to hold firm, giving another opportunity for a rebound. The technical indicators are not in favor of bullish actions, but cannot exclude the case of an upside reversal either. The MACD, although stable, is still some [..]

Technical Analysis – EURGBP’s upside drive dwindles, nourishing range

Posted on December 30, 2020 at 11:43 am GMT

EURGBP remains consolidated between the confines of 0.8860 and 0.9229, with the pair currently testing the flattening simple moving averages (SMAs). The horizontal SMAs are promoting the sideways picture, while the static Ichimoku lines are reflecting the oxygen deprived directional momentum. Looking at the short-term oscillators, the conflicting signals in sentiment are apparent. The MACD is slightly above zero but below its red trigger line, while the RSI has dipped below its neutral threshold. Yet, the stochastic oscillator maintains a [..]

Technical Analysis – Gold in a narrow trading range after Senate’s stimulus vote delay

Posted on December 30, 2020 at 10:39 am GMT

Gold is in a tight range around the 1,880 level in the four-hour chart, stubbornly refusing to dip inside the Ichimoku cloud and below the tough ascending trendline, which has been strictly supporting the market since the end of November. The odds for an exciting rebound are looking minimal as the RSI and the MACD continue to hold muted around their neutral levels, supporting the current sideways move in the price. The 61.8% Fibonacci of the 1,965 – 1,764 downfall at 1,888 [..]

Technical Analysis – NZDUSD exhibits sturdy bullish bias; upside pressure persists

Posted on December 30, 2020 at 8:45 am GMT

NZDUSD is in the process of pushing past the fresh 32-month peak of 0.7171 after having recently found some traction off the blue Kijun-sen line. All the simple moving averages (SMAs) are defending the positive structure, while the bullish Ichimoku lines are endorsing positive price action. Likewise, the short-term oscillators are leaning towards further improvements in the pair. The MACD, some distance in the positive area, is below its red trigger line but looks set to return back above it, [..]

Technical Analysis – USDJPY gets another rejection from 20-day SMA; 103.00 back in focus

Posted on December 30, 2020 at 8:32 am GMT

USDJPY is set for another battle around the 103.00 supportive area, which it failed to successfully breach two weeks ago, despite slipping to a new eight-month low of 102.86. The latest bearish correction follows another rejection near the 20-day simple moving average (SMA), and questions are arising about whether the pair can further strengthen its March downward pattern within the descending channel.The technical picture continues to reflect a neutral-to-bearish bias as the market action keeps developing below the downward-sloping 20- [..]

Technical Analysis – USDCAD’s negative tempo diminishes; downside risks remain

Posted on December 29, 2020 at 2:02 pm GMT

USDCAD appears to be in the process of finding some footing on the 100-period simple moving average (SMA), after pulling back below the Ichimoku cloud and the 50-period SMA around 1.2818, in the four-hour chart. The strengthening 50-period SMA and the gradual softening downward tone of the 100- and 200-period SMAs, seem to be assisting the pair into a more sideways motion. However, the short-term oscillators are leaning towards the downside. The MACD and the red trigger line are in [..]

Technical Analysis – UK 100 index prints fresh 10-month high after skinny Brexit trade deal

Posted on December 29, 2020 at 1:32 pm GMT

The UK 100 stock index (cash) opened with a positive gap on Tuesday, advancing above the 61.8% Fibonacci level of the 7,688 – 4,777 downfall and to an almost 10-month high of 6,677. Despite the bullish appetite, however, the price seems to be struggling to hold above the 6,635 barrier, which can also be linked to the closing prices registered early in March. The ascent in the RSI and the Stochastics is currently favoring the bulls, though a confirmation above 6,635 is likely [..]

Technical Analysis – JP 225 index advances to a 30-year high; bias cautiously bullish

Posted on December 29, 2020 at 10:39 am GMT

Japan’s 225 stock index (cash) staged a stunning rally before the year end, accelerating above the tough 26,960 ceiling of the one-month old consolidation phase and towards a 30-year high of 27,690. The 28,000 – 28,500 psychological area will be closely watched in the short run as the RSI is flagging a bullish bias following the breach of a descending trendline. Yet, the indicator has already crossed above its 70 overbought mark, while the MACD could not surpass its red [..]

Technical Analysis – EURJPY struggles to rekindle ascent past 1½-year peak

Posted on December 29, 2020 at 9:29 am GMT

EURJPY is colliding with the upper boundary of the range at 127.06, finding it difficult to revive the hike. The rising 100- and 200-day simple moving averages (SMAs) and the forthcoming bullish crossover between the 50- and 100-day SMAs are protecting the improving structure. However, the bullish Ichimoku lines and the MACD are reflecting the recent stalling in the climb. Overall, momentum in the short-term oscillators appears to be skewed to the upside. The MACD, some distance above zero, although [..]

Technical Analysis – EURUSD in recovery mode; bulls could take a breather in short run

Posted on December 29, 2020 at 8:47 am GMT

EURUSD is recovering the lost ground from the 2 ½-year high of 1.2272, while markets are wondering whether the pair can stretch its rally to fresh highs. In terms of trend, the upward trajectory shows no sign of fading, and with the price trading above its upward-sloping simple moving averages (SMAs) and the Ichimoku cloud, there is little concern of a trend reversal. The RSI and the MACD, however, signal that the bullish momentum in the price may soften as [..]

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