Recent ventures below 5900 have not last long, as demonstrated by the string of long downside wicks on the dailies in November and December. With a pin candle printing Monday following a bounce off 5808, a close above 5900 on Tuesday would generate a bullish setup heading into Wednesday’s inflation report.
If the price can push through 5900, longs could be...
More USD strength to start the week and the big item for the dollar on this week's calendar is the CPI release on Wednesday morning.
USD is overbought on both weekly and daily charts and EUR/USD is oversold on the weekly.
That doesn't necessarily spell reversal, however, and we're likely waiting for that CPI data on Wednesday to see if there's going to be...
The AUDUSD has experienced a consistent decline of over 3% in the past month. This is primarily due to the growing strength of the U.S. dollar as the next Fed decision approaches (January 29), where interest rates are expected to remain stable at 4.5%.
Bearish Channel: Since October 4, 2024, a solid bearish channel has been maintained, with the price...
USD/CAD has been trading just below resistance for over a month now at the 1.618% extension of the 2023 advance at 1.4483 . Note that the upper parallel of the ascending pitchfork continues to cap the December breakout.
Initial support rests with the 75% parallel (currently ~ 1.43 ) with bullish invalidation now raised to 1.4099-14115.
Ultimately a breach /...
The DXY's strength has pressured markets into critical territories, pushing the pound toward key support levels towards 1.2030.
Fibonacci Extensions
Using the Fibonacci extension tool on the corrective pattern between the July 2023 high (1.3125), October 2023 low (1.2030), and September 2024 high (1.3434), the notable 1.272 extension level aligns with the...
While USD/JPY remains strongly correlated with yields in the belly of the US Treasury curve, that’s not translated to explosive upside recently, a noticeable departure from the trend seen in previous months where rising yields saw dollar-yen rip higher.
With the pair unable to hold gains despite the blowout nonfarm payrolls report last Friday, the price action...
After the surprising report of 256k jobs created compared to the expected 160k, the U.S. index has experienced a decline of over 1% in the last trading hours. This is due to the perception that strong employment data could be counterproductive to the outlook for future interest rate cuts by the Fed.
Lateral Range:
Recently, the price has been trading within a...
Gold has been able to ignore the US dollar strength and rising bond yields until now. But since topping out in October, it has created a few lower highs, suggesting that the trend is no longer bullish as it was in the early parts of last year. The precious metal is now testing a bearish trend line derived from connecting the prior two highs. This trend line...
Chart Analysis:
The GBP/USD pair continues to slide within a well-established descending channel, with bearish momentum intensifying as it tests key support levels.
1️⃣ Descending Channel:
The pair remains firmly within the red-shaded descending channel, reinforcing the dominant downtrend.
Price is approaching the lower boundary of the channel, a critical area...
Chart Analysis:
The AUD/USD pair continues its downward trajectory, reaching critical support levels, while bearish momentum remains dominant.
1️⃣ Key Support Levels:
Immediate support at 0.6190, marking the current level of defense for buyers.
Further support at 0.6169, the next line of demand if the pair breaks lower.
2️⃣ Downtrend Line:
The pair remains...
Chart Analysis:
The Japan 225 index remains within a clearly defined horizontal range, suggesting consolidation and indecision among market participants.
1️⃣ Key Resistance and Support Levels:
Resistance: The upper boundary near 40,236 serves as a key resistance, capping upside attempts.
Support: The lower boundary around 37,708 offers a critical level of...
The price of oil pulls back from a fresh weekly high ($75.29) to keep the Relative Strength Index (RSI) below 70, and the oscillator may show the bullish momentum abating should it continue to move away from overbought territory.
Crude Oil Price Outlook
The recent rally in the price of oil seems to be stalling ahead of the October high ($77.38) as it no longer...
Bitcoin has given up its gains made in the initial days of the year following a very strong performance last year. But in December, BTC/USD formed an inverted hammer candle at technically overbought levels, potentially providing a bearish signal for the early parts of this year.
Each time the monthly RSI has risen above 70.00 it has invariably dropped back...
The U.S. dollar continues to gain ground as the Fed remains firm in slowing down rate cuts. The interest rate differential of 4.5% from the Fed versus 3.15% from the ECB remains a key reason for the market's preference for the U.S. dollar in the short term.
Bearish Trend:
The trend in favor of the U.S. dollar remains intact since late September 2024. So...
Chart Analysis:
NVIDIA has emerged from a consolidation phase, with a breakout signaling a potential continuation of its bullish trend.
1️⃣ Breakout Confirmation:
The stock broke out above the descending channel (green-shaded area) with strong bullish momentum, as highlighted by the long bullish candle (purple circle).
The breakout aligns with the broader...
Chart Analysis:
The US Dollar Index (DXY) continues to trade within a well-defined ascending channel (green-shaded area), signaling sustained bullish momentum.
1️⃣ Ascending Channel:
The DXY is consolidating near the channel's midline, with the upper boundary around 110.00 acting as a potential resistance area.
A breakout above the channel's upper boundary...
Chart Analysis:
Bitcoin remains in a long-term uptrend, supported by an ascending trendline (black line) and recently consolidating within a rectangular range near $96,000.
1️⃣ Ascending Trendline:
The long-term trendline continues to act as dynamic support, underpinning Bitcoin's bullish structure.
Traders may watch for price reactions near this trendline for...
Crude oil prices have been stealthily rising over the past couple of weeks, but now is the real test as prices have reached some important resistance levels.
As per the chart, WTI faces a band of resistance from its bearish trend line, 200-day moving average, and prior support and resistance, all converging around the psychologically important $75.00 level....
