CZKUSD trade ideas
USDCZK LONG TRADEThe daily chart printed a bullish inverted hammer candle at support. I am going long and targeting previous resistance.
Long opportunity for USD/CZKPrice has reached a strong support on the monthly, weekly and daily time frame.
Looking for a bounce from this point and going long, also now resting on the 0.236 Fib retracement from the highest historic point, to the lowest.
USD/CZKThere is a convergence on 1D time frame.
The fake out to the downside from the falling wedge.
The fake out has formed double bottom on 4H TF with the convergence, which is a double bullish sign.
Return to the falling wedge and bullish breakout is expected.
Also, there is a possibility of the further HnS formation on 1W TF.
This is not the financial advice.
Any feedback is welcomed.
USDCZK video top-down AnalysisHello everyone, here is the top-down analysis for USDCZK, feel free to request any pair/instrument or ask any questions in the comment section below.
If you like the idea, do not forget the like!
Best of luck!
Czech Republic's Consumer Price Index reportsThe pair will fail to break out from a major downtrend resistance line, which will send the pair lower towards its previous low. While western Europe is struggling to revive its economy, its eastern counterpart led by the V4 nations is helping the region to go back to its feet. The Czech Republic posted its Consumer Price Index reports on Friday, October 16. The CPI MoM report managed to pull itself after it grew by 0.2% from the decline of -0.3% for the month of August. Meanwhile, the country’s year-over-year figure for CPI made a slight improvement from -0.5% to -0.4% for September. Another report that supports Czechia’s recovery was its inflation rate report. Poland, Hungary, and the Czech Republic posted 3.8%, 3.4%, and 3.3% inflation, respectively. All of whom managed to reach their inflation target of +-3.05. Investors are expected to push the Czech Koruna higher against the US dollar due to the uncertainty brought by the US elections.
USDCZKjust a possibility of what can potentially happen a consolidation before a drop to the daily support or it can directly just drop
The improvements seen by the Czech economyThe improvements seen by the Czech economy is helping bearish investors keep the USD/CZK pair grounded. Prices aren’t expected to rise anytime soon and are on track to crash towards their support level by the first few days of September. The move should push the 50-day moving average much lower against the 200-day moving average, suggesting a strong market for bears. Earlier this month, the Czech National Bank announced that it would leave its rates unmoved at 0.25% as expected. The move momentarily slowed down the Czech koruna but the significantly better than projected CPI results from the Czech Republic helped it to eventually regain its footing. On the other hand, the lackluster results produced by the US monthly retail sales report for July have caused the greenback to further lose its poise. The US retail sales dramatically went down from 8.4% to 1.2%, coming in much lower than prior expectations of about 1.9%.
