On Monday, the dynamics of oil was in the spotlight on a combination of negative factors by both the potential demand and the supply part. Asian markets lose 0.5%-0.7% on Tuesday morning. After returning to the highs area since March, the American S&P 500 lost growth momentum in anticipation of further signals from the economy […]
• USDCHF reversed from resistance zone • Likely to fall further USDCHF recently reversed down sharply from the resistance zone lying between the key resistance level 1.0050 (which stopped the sharp uptrend in May) and the upper daily Bollinger Band. The downward reversal from this resistance zone created the daily Japanese candlesticks reversal pattern Shooting […]
• Copper reversed from resistance zone • Likely to fall further Copper today reversed down from the resistance area located between the pivotal resistance level 2.7940 (former strong support from the start of July) and the 50% Fibonacci correction of the previous downward impulse 3. The downward reversal from this resistance zone started the active […]
• NZDUSD reversed from resistance zone • Likely to fall further NZDUSD continues to fall inside the (b)-wave of the minor ABC correction 2 from the start of July. The active (b)-wave started previously from the resistance zone surrounding the powerful resistance level 0.6850 (former powerful support from May and June). The resistance zone near […]
• Soy broke multi-year support level 8.5100 • Likely to fall further Soy recently broke below the powerful, multi-year support level 8.5100, which has been repeatedly reversing the price from the end of 2015, as can be seen from the weekly Soy chart below. The breakout of the support level 8.5100 should further accelerate the […]
The New Zealand Dollar (NZD) remains under pressure this week with the resumption of the US-China trade war headlines. The NZD did put in a recovery as China refrained from retaliating immediately to the latest round of US tariffs of $200bn, but it is possible that the trade war will come into focus again as […]
The GBPJPY pair has tested resistance at 148.805 overnight and was sold down to the 147.945 level after US President Trump reportedly said that there would be no trade deal between the US and UK unless the UK made a hard brexit from the EU. GBP weakened considerably on the news. The support is now […]
The EURAUD pair is consolidating around the 1.58000 level using its 50 DMA and the 1.56962 level as support and its 1.58888 level as resistance. These levels set the range for traders and a break out can develop into a bigger move. The chart remains bullish on a break above the resistance with the 1.58153 […]
President Trump has spent yesterday in Europe where he attended a NATO meeting before travelling to the UK. He left Brussels with the commitment of NATO members to meet their agreed 2% spending target. Reports from the meeting suggested that he threatened to pull the US out of NATO if this wasn’t agreed which led […]
• USDJPY rising inside impulse wave 3 • Likely to rise further USDJPY continues to rise inside the strong upward impulse wave 3, which previously broke through the major resistance level 111.00 (which has been steadily reversing the price from the middle of May, as can be seen below). The breakout of the resistance level […]
• Brent Crude Oil broke combined support zone • Likely to fall further Brent Crude Oil recently broke through the combined support zone lying between the support level 75.00 and the support trendline of the daily up channel from the middle of February. The breakout of this support zone accelerated the active minor corrective wave […]
The US Dollar has been advancing ahead of the CPI report today which is expected to show the headline rate edge up to 2.9% year-on-year. The US preparing an additional $200bln of tariffs on Chinese imports caused some risk aversion but this has proven to be short lived. However, higher tariffs can be expected to […]
The metal has plunged lower to support at 1240.00 yesterday after retracing last month’s decline to the 1265.80 level. The 1240.00 area was the target for the double top from 1365.30 and it would appear that sellers are taking profit in this area. The low reached was 1237.50 and any move under this area could […]
The EURGBP pair is in an uptrend on the daily since the 17th of April and the low created at 0.86203. The price has eked out higher highs and lows and advanced to Monday’s high at 0.89000. A break above this area could change the playing field and try to advance the chart to the […]
The WTI Oil price fell from $72.98 to $68.68 yesterday despite the inventories data showing a draw of -12.6M barrels which is the biggest since September 2016. Libya has said it would lift restrictions on exports and production would return to normal levels from close to 0.5M bpd back to 1.3M bpd. Saudi production has […]
Producer prices in the U.S. added 0.3% in June, increasing the annual growth rate to a seven-year high of 3.4%. Core Producer price index (ex food and energy) has accelerated to 2.8% YoY (also the highest rate since 2011). The increase in fuel prices is now spreading through the economy and is already pulling up […]
The Bank of Canada (BOC) is expected to raise its interest rate today for the first time in six months due to stronger economic data. The market will focus on the accompanying quarterly monetary policy report for any additional forward guidance. Although GDP and CPI forecasts may not alter, the central bank’s message on risks […]
The Industrial index performed well on the back of Nonfarm payrolls on Friday but was hard hit by US President Trump’s announcement of an additional $200B in tariffs on China last night. This has ended the leg higher that was built from 24000.00 with price now testing down to the 200DMA at 24600.00. The 100 […]
The EURCAD pair is in a precarious position at the moment with trading restricted by the resistance trend lines overhead and supported by moving averages underneath. The BOC rate decision will be released this evening and this can impact the pair substantially with these nearby technical levels weakened as a result. In this regard we […]
• USDCAD reversed from support zone • Likely to rise further USDCAD recently reversed up from the support zone lying between the powerful support level 1.3070 (former major resistance level which reversed the price sharply in March and June, as can be seen from the daily USDCAD chart below). The upward reversal from this support […]
• Copper broke support level 2.8000 • Likely to fall further Copper continues to fall after the earlier breakout of the support level 2.8000, which reversed the previous sharp minor impulse wave 1 with the daily Hammer at the start of July. The breakout of the support level 2.8000 strengthened the bearish pressure on this […]
The risk on mode continued in yesterday’s trading session with Asian, European and US markets closing higher. After the US close President Trump threatened to expand tariffs on additional $200B worth Chinese products. This led to a selloff in stocks wiping out all of yesterday’s modest gains and eating into the gains from Monday. Risk […]
The GBP weakened again because of the disappointing industrial production statistics. In May, instead of growing by 0,5% the index suddenly lost 0,4% after the sharp fall by 1.0% in April. The GBPUSD pair decreased to the minimums area at around 1.3230 shortly after the British data had been published. As the positive impact of […]
• USDJPY broke key resistance level 111.00 • Likely to rise further USDJPY today broke above the key resistance level 111.00 (which has been reversing the price from the middle of May, as can be seen from the daily USDJPY chart below). The breakout of the resistance level 111.00 accelerated the active minor impulse wave […]
• Platinum reversed from resistance zone • Likely to fall further Platinum recently reversed down from the resistance zone lying between the key resistance level 860.00 (former strong support from June) and the 50% Fibonacci correction of the previous downward impulse from the middle of June. The downward reversal from this resistance zone started the […]
The British Pound (GBP) has recovered much of the losses from yesterday as fears over a challenge to Prime Minister Theresa May’s leadership following the resignation of two ministers have diminished. It is thought that May would win a party confidence vote, however if further compromises were made with Brussels during Brexit negotiations, the issue […]
This pair has now found some support at 0.73100 and buyers have stepped into the breach to prop price up. The pair has been traded on trade war tensions, with the US implementing sanctions against Australia main export market for natural resources, China. Thus headlines concerning these developments are of great importance to this pair. […]
The German 30 Index has moved up to test the 12600.00 area today but has had difficulty holding onto those gains. After selling off in the middle of June, the index bottomed at 12100.00 on June 28th and began retraced the move lower. Solid support can be seen below 12150.00 but a further move lower […]
Cable (GBPUSD) took a hit yesterday as Boris Johnson resigned from the Cabinet following the earlier decision by David Davis to part ways with his post as Brexit Secretary. The initial move on the Davis resignation was for Cable to rally from 1.33000 up to 1.33500 but news of Johnson’s departure sent the pair down […]
• AUDUSD broke resistance area • Likely to rise further AUDUSD recently broke sharply through the resistance area lying between the key resistance level 0.7440 (former support level from May) and the 38.2% Fibonacci correction of the previous sharp downward impulse C from June. The breakout of this resistance area accelerated the active minor impulse […]
