LONG POTENTIAL ON CADJPY.
MOVING WITHIN A CONSOLIDATED RANGE WITH TREND LINES AND SUPPORT BEING REACHED.
LOOKING FOR UPWARD MOVEMENT TO THE TESTED RESISTANCE.
OIL PRICES WILL AFFECT THIS SO A CLOSE EYE WILL BE HAD ON THIS.
FOR THOSE ELLIOT WAVE FOLK, THIS WILL BE THE 5TH WAVE AND PROVIDING IT BREAKS THE BABY WEDGE MADE IT WILL SHOOT UP.
EURGBP LOOKING FOR A RETEST DOWN TO 61% BEFORE BREAKING THE WEDGE AND UPWARD MOVEMENT.
61% FIBONACCI RETRACEMENT IS A STRONG SUPPORT/SUPPLY ZONE. POTENTIAL UPSIDE GIVEN CONFLUENCE AND FUNDAMENTALS OF THE EURO PRESENTLY.
TWO TAKE PROFITS IN THE EVENT OF A STRONG RESISTANCE/ RETEST
GBPJPY PROVIDING A BULLISH FLAG WITH A RETRACEMENT TO A SUPPLY ZONE/ STRONG SUPPORT.
LOOKING FOR UPSIDE AS WE HAVE MULTIPLE CONFLUENCES:
1- STRONG SUPPORT
2- DAILY TREND LINE UP FOR A WEDGE
3 - BULLISH FLAG
4 - FUNDAMENTALS IN THE WORLD WHERE A SAFE HAVEN CURRENCY ISNT NEED AS MUCH AS THE POUND AS UK IS LIFTING LOCKDOWN RESTRICTIONS ETC.
With gold looking bullish on the daily and broken past the previous resistance alongside the risk of a second wave of coronavirus in the USA. Investors/traders will be looking at the safe haven of gold to see through the storm. USDZAR having a strong correlation against gold should continue the sell off of USDZAR.
Worth noting that Coronavirus has spiked in SA...
