Weekly gain/loss: - 149 pips
Weekly closing price: 1.0635
Recent trade shows that the EUR/USD extended its bounce from the weekly resistance level at 1.0819, and ended the week chalking up a near-full-bodied weekly bearish candle. Provided that the bears remain in the driving seat here, the next weekly support target on tap can be seen at 1.0515: the 2017 yearly...
For those who read Thursday’s report on the yellow metal you may recall our team highlighting a short position we took from 1239.6, with a stop logged in at 1245.4. As you can see, the trade worked out beautifully, despite quite severe drawdown. We have taken 70% off the table at the H4 demand area at 1227.6-1230.5 and reduced risk to breakeven. Our next port of...
Looking at the weekly chart this morning, the yellow metal recently struck the underside of a weekly resistance level seen at 1241.2. While this may be the case, down on the daily chart the bulls convincingly closed above daily supply at 1232.9-1224.5 (now acting support area). This does, of course, create somewhat of a conflict between the two higher timeframes....
With the US dollar advancing across the board yesterday the AUD/USD tumbled lower, bottoming just ahead of the 0.76 psychological barrier. In view of this, we’re currently drawn to the 0.7577/0.76 H4 support area today. Supporting a bounce from this zone we have the following converging structures:
• A H4 AB=CD 127.2% ext. at 0.7586.
• A H4 61.8% Fib support at...
The EUR continued to sag against its US counterpart yesterday, as the US dollar advanced against the majority of its trading peers. H4 demand at 1.0684-1.0709 along with the 1.07 psychological handle housed within, were both wiped out, allowing price to clock a low of 1.0656 and retest the aforementioned H4 broken demand as a resistance area.
From a technical...
As you can see from the charts this morning, the gold market continued to accelerate to the upside yesterday. This was likely helped by the US dollar index topping out just ahead of a H4 resistance at 100.26.
At the time of writing, we believe the yellow metal to be currently underlining overbought conditions. To put it differently, the H4 candles are presently...
Kicking this morning’s report off with a quick look at the weekly chart, we can see that the current weekly candle is trading within touching distance of a weekly support area coming in at 111.44-110.10. Looking down to the daily chart, however, price is already seen trading within the walls of a daily demand area seen at 111.35-112.37. In the event that price...
Weekly gain/loss: + 94 pips
Weekly closing price: 1.0784
In spite of the prior week’s palpable selling wick, last week’s movement chalked up a nice-looking weekly bullish engulfing candle, which, as you can see, forced the pair to cross swords with a weekly resistance level coming in at 1.0819. This – coupled with the 2016 yearly opening level located just above...
USD/CHF prices are little changed this morning, despite ranging around 70 pips on the day. To make a long story short, here is what our eyes are drawn to on the H4 chart currently:
• Parity (1.0000). A number watched by the majority of the market.
• Three H4 trendline resistances that merge beautifully with 1.0000 (0.9959/1.0335/1.0122).
• H4 Fib extension 161.8%...
Yesterday’s action began with Australia’s trade balance reporting a $3.5b surplus in December, up from $2.0 b in November. The Aussie bulls immediately rose up and took charge, rallying over 70 pips on the day (open/close). Psychological resistance 0.76 was consumed during the bullish assault, allowing price to challenge the H4 channel resistance extended from the...
For those who read our previous report on the GBP you may remember that we highlighted the 1.27 region as a potential level to sell from, given its surrounding confluence (H4 Quasimodo resistance at 1.2699 and housed within a daily supply at 1.2728-1.2657, as well as positioned only 25 or so pips above the weekly Quasimodo resistance at 1.2673). Helped by the BoE...
For those who read Wednesday’s report on the EUR you may recall that our desk executed a market sell order at 1.0798, with a stop placed at 1.0824. Fueled by the upbeat numbers seen from both the US ADP non-farm employment change and US manufacturing PMIs, the trade struck the H4 support area at 1.0765-1.0753 during yesterday’s sessions. 50% of the position was...
In our previous report, we noted to keep an eyeball on the H4 demand area penciled in at 112.05-112.37. This base commanded the backing of the current daily demand at 111.35-112.37, which itself is further reinforced by a weekly support area at 111.44-110.10. As is evident from the H4 chart, the unit aggressively drove into the jaws of this zone yesterday and...
For those who read Tuesday’s report on the GBP you may recall that our desk highlighted the 1.24/1.2440 region (yellow box) as a rather attractive H4 buy zone. It comprised of a H4 AB=CD 161.8% Fib ext., the 1.24 handle, a H4 trendline support taken from the high 1.2432 and boasted additional backing from a daily support area chiseled in at 1.2510-1.2415. Well...
The EUR made considerable ground against its US counterpart yesterday, after US President Trump’s trade advisor commented that the euro was ‘grossly undervalued’. The move was further exacerbated by lower-than-expected US consumer sentiment and a disappointing Chicago PMI, as well as a decline in the 10-year treasury yield!
The 1.07 psychological handle, along...
US President Trump’s decision to halt some immigration revived demand for the safe-haven yen yesterday. Following an upward rejection of December’s opening level at 114.68 going into the London session, the USD/JPY collapsed, wiping out the 114 psychological handle and clocking lows of 113.44 on the day.
As we write, the weekly candles are seen hovering...
The bearish pulse continues to beat in the GBP/USD market this morning. Sterling came under pressure shortly after Sunday’s open, falling sharply from a H4 supply zone at 1.2611-1.2589. Several H4 tech supports were engulfed during this downward move, including the H4 demand at 1.2490-1.2531 which is currently being retested as supply. On the condition that this...
Weekly gain/loss: - 8 pips
Weekly closing price: 1.0690
Weekly opening price: 1.0721
Despite the pair ranging over 100 pips last week, EUR/USD prices are little changed. What is notable from a technical perspective, nevertheless, is the reaction seen from the long-term weekly trendline resistance (stretched from the low 0.8231), which consequently formed a...
