The republicans and the democrats are engaged in the fierce struggle. Due to sharp and abrupt reduce in the funding, about 800,000 of 2.1 million federal employees will be furloughed. There are rumors that the “blackout” will last no more than a week and a rational decision will be taken. The investors started to buy […]
Gold was trading in an upward sloping sideways channel with an overlaping pattern that we noted yesterday. We also noted that this upward move could be a corrective pattern if the support at 1,320 was broken. Our next target would be at 1,300-1,290 if support was broken and this is exactly what happened. Support levels […]
Overview: USD/JPY is trading with bearish bias. It is weighed by negative dollar sentiment (ICE spot dollar index hit the eight-month low of 79.864 overnight; last at 80.18 versus 80.25 early Tuesday) and diminished risk appetite (although S&P closed up 0.8% overnight) as worries mount that the partial shutdown of the U.S. federal government, showing […]
General overview for 02/10/2013 08:30 CET Overlaping price action and lack of impulsive wave development might suggest that alternate count could be in charge IF the low of the wave (i) OR A green is taken out. The level of 131.62 is very important for overall wave progression and important support levels, so please keep […]
Wave analysis: As it was expected, during yesterday’s trading session the GBP/USD pair continued moving towards the level of figure 63. However, after it had reached the level of 1.6265, the price reversed 70 points from the day’s high. Meanwhile, the inner wave structure of the fifth wave in five assumes the possibility of the […]
USD/CAD Elliott Wave Since our last analyses the USDCAD pair has been trading upwards, just like we expected, corrective wave c (coloured blue) of the bigger wave (y) has been developing. During Tuesday’s Asian session we could observe strong descending movement from 1.0328 towards the 1.0287 level.Therefore, during the European and New York sessions this commodity currency […]
General overview 02/10/2013 08:30 CET The price development is pointing to the upside and the current wave progression indicates that wave (iii) is developing. To confirm this movement, the 1.0350 level must be taken out. Then, the next resistance for the price is WR2 at 1.0379. Support provides the 1.0335 level. Momentum on AO oscilator […]
Overview: GBP/JPY is trading in a lower range. it is undermined by diminished investor risk appetite, Japan exporter sales. But GBP/JPY losses are tempered by demand from Japan importers. Daily chart is negative-biased as MACD and stochastics are in bearish mode. Trading recommendation: The pair is trading below its pivot point. It is likely to […]
Technical outlook and chart setups: The metal fell below the 1,290.00 levels yesterday on the backdrop of U.S Government shutdown, but the technical support of 1,270.00 remains intact. In 4H chart it is depicted a tweezer bottom formation and that the metal should be poised to rally from current levels. It is still recommended to […]
AUD/USD Elliott Wave From the beginning of this week the AUDUSD pair has been trading upwards, corrective wave (a) (coloured green) of the bigger wave [5] (coloured black) has been developing. Yesterday, during the Asian and European sessions we could observe strong ascending movements from 0.9286 towards the 0.9434 level and we can consider this move as the end of the c wave […]
Technical outlook and chart setups: The metal has fallen below the 21.00 levels stopping us out of long positions yesterday. It is recommended to remain flat for now, though the overall structure still remains constructive due to following reasons: 1. The rising trendline for sub 18.00 levels still remains intact. 2. The fibonacci 0.618 support […]
USDJPY – Technical indicators suggest short term bearish in the pair. On the 4H chart on Wednesday, in the mid-European session, price action is moving lower and is below the Ichimoku cloud (bearish). The Tenkan-Sen and Kijun-Sen remain negatively aligned. USDJPY is currently at 97.35. Key support level of 97.60 was broken in mid-session European […]
October 2nd, 2013, Daily Market Bite from Ishaq Siddiqi Market Strategist. European markets have opened lower today, as concerns over political uncertainties in Italy overshadowed optimism that the US government’s first shutdown in nearly two decades would be short-lived. Closer home, investors await data that is expected to reveal that UK construction PMI rose slightly […]
Technical outlook and chart setups: As depicted in the daily chart, the currency pair has pulled back after hitting fibonacci resistance close to 135.00. Recent lows at 131.60 indicate that there still remains steam for an upside extension towards 136.00/137.00. It is therefore recommended to remain long with risk below 131.50 for now. Resistance is […]
Overview: NZD/USD is trading with risks skewed lower. It is undermined by Kiwi sales in the soft NZD/JPY cross amid subdued investor risk appetite, Kiwi sales in the rebounding AUD/NZD cross, concerns that China’s economy was slowing, weaker commodity prices. But NZD/USD losses are tempered by negative dollar sentiment. Daily chart is negative-biased as stochastics […]
Technical outlook and chart setups: The currency pair seemed to find interim resistance at the 1.4700 levels yesterday. An engulfing bearish formation is underway at the moment in daily chart. It is, therefore, recommended to quit long positions now. Aggressive trade setups would be to go short with stop at the 1.4750 levels. This looks […]
Overview: USD/CHF is consolidating in a higher range after hitting one-and-a-half year low of 0.8989 Tuesday. USD/CHF is supported by the franc sales in the soft CHF/JPY cross, the franc sales in the buoyant EUR/CHF cross. But USD/CHF gains are tempered by negative dollar sentiment. Daily chart is mixed as MACD is bearish, stochastics stays […]
The U.S dollar eased lower against the yen in the Asian session on Wednesday as investors are being cautious about when the US government shutdown will end. A longer lasting shutdown will have a bigger impact on the US economy. Fed tapering will likely be postponed if the deadlock continues. Also the US jobs data […]
Daily chart: The USDX has not made significant changes in the daily chart and is still forming a higher low pattern. Apparently, the bearish trend could recobar force because the USDX formed some days a fractal above resistance at the 80.62 level, which could curb future increases in the USDX. However, it is likely that […]
Daily chart: GBPUSD found resistance at the 1.6235 level and now this pair is trying to fall to the support level at 1.6146. For now, this pair is still making lower high forming a bullish pattern and the trend is still very much alive in this pair. However, the pair can manage to break the […]
Today’s Support and Resistance levels: R3: 1.6561 R2: 1.6492 R1: 1.6462 Current Spot:1.6442 S1: 1.6413 S2: 1.6387 S3: 1.6346 Technical summary: We finally cleared the resistance at 1.6418. We see the wave ii end at 1.6219 and wave iii developing higher towards 1.6565 and more likely towards the S/H/S target at 1.6815. In the longer […]
Today’s Support and Resistance levels: R3: 133.48 R2: 132.98 R1: 132.62 Current Spot: 132.38 S1: 132.13 S2: 131.98 S3: 131.64 Technical summary: The correction we expected went a little deeper than the ideal of 132.25, but that does not change the overall bullish outlook. In the short term we are looking for 132.13 to protect […]
Daily chart The dollar lost positions rapidly on all fronts in Tuesday’s session as a result of internal political conflict in the United States, which left the Obama administration with no budget from the date. The Swiss franc also joined the list of currencies peaking at the 0.8990 price that had been achieved since February […]
European markets have opened lower today, as concerns over political uncertainties in Italy overshadowed optimism that the US government’s first shutdown in nearly two decades would be short-lived. Closer home, investors await data that is expected to reveal that UK construction PMI rose slightly to 59.2 in September from 59.1 in the previous month. Related […]
The dollar was little changed in the US session on Tuesday, remaining weak as a result of the US partial government shutdown which began today after the US Congress was unable to reach an agreement on a spending bill before the Monday deadline. Also causing concern is the upcoming October 17 deadline to raise the […]
Daily view: Price Zone 1.3515-1.3560 represents a valuable Supply zone that kept price below for almost two months. The pair is showing some bearish rejection manifested in the Daily candlesticks of previous week as well as last Monday’s bearish engulfing candlestick. However, lack of bearish follow-up was witnessed this week when the pair spiked up […]
Daily view: The cable invalidated the reversal Head and Shoulders pattern maintaining quite strong bullish momentum to the upside. Daily closure above 1.5719 (the highest level in August) enhanced further bullish pressure to be applied, so that the bulls could step above 1.5760 (the highest level in June). The pair expressed a bearish Harami daily […]
Overview: The resistance for USD/CAD is set at the level of 1.0383, therefore, the bears are going to sell below 1.0383, because there is a double top at the price of 1.0380 (61.8% Fibonacci retracement levels). So it should also be noted that the resistance is set at the level of 1.0383, thus swing trade […]
The US government shutdown was the dominant news today and the main driver of the markets. The US dollar fell as soon as the news broke early Tuesday and remained under pressure by the European session. Investors are reluctant to buy the dollar as the government shutdown would curb the economic recovery and prompt the […]
Overview: Since our last analysis, the EUR/NZD pair has been trading sideways, around the price of 1.6333, we are still waiting for more downward movements. Since the price has broken FE 261.8% (1.6276), we may expect the testing of Fibonacci RE 61.8% at the price of 1.5915. In the daily chart, we can observe neutral […]
