It’s amazing what a new week of trading can bring! For the past two months the EUR has been consolidating between weekly support at 1.0796 and resistance drawn from 1.0983. This week however, saw prices advance over 320 pips into the close 1.1152. This has, as you can see, placed price now within shouting distance of a major area of weekly supply at 1.1533-1.1278,...
Beginning with the weekly chart this morning, we can see that the commodity currency is holding steady above support drawn from 0.7035. This, as a result, forced the Aussie to recently close above daily resistance (now acting support) at 0.7178. On the assumption that the buyers can remain dominant above this number today, the path north appears clear up to supply...
The bullish pulse continues to beat in the EUR/USD market as price stamped in yet another 100+ pip gain yesterday. Early on in European trade, market action bounced nicely from a small H4 demand at 1.1065-1.1080 (an area we warned may be troublesome for shorts) and advanced up to psychological resistance 1.1200 where price is currently stalling.
The way we are...
In our previous report (blog.icmarkets.com), we spoke about entering long from the base of a H4 AB=CD pattern that completed between the 127.2%/161.8% Fibonacci extensions (yellow area at 0.6978/0.7013). Our second take-profit target at psychological resistance 0.7100 was easily reached and we took final profits at H4 supply drawn from 0.7171-0.7146. We do hope...
Based on recent price action, there appears to be a nice-looking buy setup forming. Friday’s rebound from the 61.8% Fibonacci resistance at 0.7135, coupled with Monday and Tuesday’s movement has chalked up what appears to be a H4 AB=CD pattern. What makes this pattern so attractive are the following converging structures:
• H4 support at 0.7025.
• 38.2%...
During the course of last week’s trading, Gold increased over $20 in value by the close 1117.6. This, as you can see, forced price to pierce above weekly supply coming in at 1098.6-1121.7, and has, as a result, potentially opened the path north for further buying this week up to weekly resistance penciled in at 1157.4.
Rolling a page lower to the daily timeframe,...
Despite last week’s action ranging over 180 pips, the single currency closed a mere 37 pips above the prior week’s close at 1.0829. Looking at the weekly chart, we can see that a rather vicious selling wick formed, dragging price down to support at 1.0796 (blue line) which has capped the downside in this market since the beginning of Dec 2015. Therefore, one might...
For those read our previous report (blog.icmarkets.com) you may recall us mentioning to watch for a close above and retest of the psychological number 1.0900. As shown on the H4 chart, this took place during the early hours of London. Unfortunately, we could not find any lower timeframe price action to validate buying from this level. Well done to any of our...
Despite Carney’s comments that U.K rates could be cut, Cable advanced north yesterday following a whipsaw through both H4 demand at 1.4204-1.4231 and psychological support 1.4200. This, as can be seen from the chart, saw the pair rally over 150 pips, breaking above psychological resistance 1.4300 and colliding into H4 resistance coming in at 1.4351.
Due to this...
The EUR/USD shows that early morning trade in Europe saw price aggressively whipsaw through mid-level resistance 1.0850, likely collecting a truck-load of stops in the process. Following this, a session low was stamped in at 1.0818, which is where we saw the single currency change tracks and close above 1.0850 by the day’s end.
During this scuffle around 1.0850,...
Following Sunday’s open 0.7001 the commodity currency saw a steady stream of bids flow into the market, pushing price to highs of 0.7031. For those who read our previous report (blog.icmarkets.com), you may recall that we took a short at 0.7034 on Thursday last week and moved our stop to breakeven once partial profits were taken at the large psychological support...
Further buying was seen last week on the USD/CHF following a rebound from a weekly support area painted at 0.9796-0.9902. This increased the pair’s value by 140 pips at the close 1.0145 and drove into the teeth of a faked weekly supply area coming in at 1.0239-1.0131. As a result, traders may want to be cautious about taking medium-term longs in this market this...
The past week saw the single currency decline around 115 pips into the close 1.0792, forcing price to close below weekly range support coming in at 1.0851 (blue line). Should the sellers manage to hold ground beneath this barrier this week, there’s little to stop them, at least on this timeframe, from dragging this pair down to the long-term weekly trendline...
The USD/JPY shows that early morning trade in London was well-bid from mid-level support 116.50. This buying, as you can see, continued throughout the London session and into U.S. trade as well, resulting in price colliding with the H4 channel resistance line extended from the high 118.81.
For traders who are contemplating a sell from this barrier today, there...
Early on in U.S. trade yesterday, the Aussie was heavily bid above the H4 range resistance 0.6931 up to the large psychological resistance 0.7000. Given the selling wicks currently being printed here on the H4, would we consider this a viable platform to short today? Well, as much as we love our round numbers, no we would not. The reasons for why are as...
Based on recent price action, we can clearly see that the H4 timeframe has entered into a smaller phase of consolidation between 1.0961/1.0861. In light of this, the team decided to close the remaining 30% of our short position taken on Friday from 1.0983 at the psychological support 1.0900 – the risk/reward still worked out very nicely!
Given this newly created...
Despite Friday’s advance north Gold has seen very little action coming into this week, with price appearing to carve out a range between 1093.1/1085.6. Consequent to this somewhat lackluster trading, much of yesterday’s outlook still holds weight going into today’s sessions.
With weekly supply at 1098.6-1121.7 providing a technical ceiling for this market at the...
Beginning with a look at the weekly chart, price action shows that although two back-to-back selling wicks printed just below a faked supply at 1.0239-1.0131 last week, there were still active bids residing at the support area seen at 0.9796-0.9902. This saw the USD/CHF close the week sixty pips in the green. With price now effectively capped between these two...
