The EURUSD market operation is presently in a bearish mode. On the monthly time frame, the candlestick print in January rejected the 1.23000 multi-year horizontal resistance area. There was a bearish follow-up in February, although not significant; a situation indicating that bulls are still influential in the market. Nevertheless, the interim March market operation is in favour of bears. Meanwhile, market operation is located at the 1.19300 area (purple), which is a horizontal support area.
On the weekly time frame, last week, EURUSD market operation broke below a rising channel (red) with a relatively big bearish continuation candlestick. It is presently located at the 1.19300 horizontal support area (purple) seen on the monthly time frame. Technically, the area may see a bullish retracement to retest the broken-down channel support trendline or a bearish surge to the nearby horizontal support extension around 1.18300 (light green).
Price action on the daily time frame broke below a rising channel (red) with a bearish print on Friday. It is presently tackling the 1.19300 horizontal support area (purple) seen on the monthly time frame. The Friday bearish print that broke down the channel support trendline has its lower shadow a bit longer than its upper shadow; technically indicating bullish resistance at the 1.19300 horizontal support area (purple). We may see a retest of the breached channel support trendline in the early part of this week. Any further bearish drive will have to contend with the next horizontal support around 1.18300 (light green) before bears can pursue an ambition to expose the 1.16200 handle (sandybrown)
The USDCAD market is still technically bearish. On the monthly time frame, market operation has been breaking technical support/supply zones since April 2020. Meanwhile, the 1.27800 area (red) is the prevailing horizontal resistance on the monthly time frame while the 1.22900 area (green) is horizontal support.
On the weekly time frame, market operation is in a falling channel (blue). Last week, market operation broke below an area of consolidation with a relatively big bearish print. Technically, we may expect a bearish continuation this week.
On the daily time frame, price action is within a falling channel (blue). There has been some sideways of price action until last Thursday when a bearish print broke below the area of consolidation. There was a bearish follow-up on Friday, but the candlestick printed could not close below the low of a bullish candlestick printed on February 25. Technically, price action is at a minor horizontal support area on the daily time frame. We may see some sideways of price action or even some northward retracement in the early part of this week before a southward continuation.
The XAUUSD market has been in a negative mode for quite a while. On the monthly time frame, an ‘M’ pattern will be completed with the March print if it closes around the 1680.00 area, a horizontal support from which the ‘initiating up-leg’ was printed in May 2020. The interim March print initially surged to the area before it retraced northward. The 1767.00 area (red) is the prevailing horizontal resistance.
The bearish mode on the weekly time frame is presently sideways with a bearish print last week countering the bullish print of near equivalent size two weeks ago. The sideways of market operation took place as it tackles the 1680.00 horizontal support area (green) seen in the monthly time frame. We may see further sideways of market operation or a northward pullback before any further bearish attempt to break down the area.
Technically, price action on the daily time frame is largely bearish but it is in retracement mode. Presently, the northward retracement is paused by the sideways created when Thursday and Friday printed opposing candlesticks at the 32.8 Fib retracement of the most recent downleg. The 61.8 Fib retracement area is in confluence with the 1767.00 area (red), which is the prevailing horizontal resistance area on the monthly time. Technically, the 32.8 Fib area is susceptible to a southward turnaround but we should await how price action handles the area in the early part of this week. A bullish break out of the area may incentivize buyers to head for the 50/61.8 Fib zone while a bearish rejection may play into the hands of sellers.
The GBPUSD market structure is still technically bullish but there has been an increase in bearish pressure in the market. On the monthly time frame, the February bullish candlestick attempted a breakout of the 1.40000/1.42140 multi-year horizontal resistance zone (red) but failed. The March interim market operation is near lower boundary of the zone and it has a bearish tinge.
On the weekly time frame, last week, market operation printed a bullish candlestick that surged towards the lower boundary of the 1.40000/1.42140 multi-year horizontal resistance zone (red) before retracing, ending with an upper shadow. Such a bullish move indicates that bulls are still influential in the market and we may see further bullish attempt to tackle the 1.40000/1.42140 multi-year horizontal resistance area (red) in the early part of this week.
Price action on the daily time frame is in a rising channel (blue). On March 5, a bearish price action broke below the channel support trendline, but bullish candlestick prints were printed thereafter and on Thursday price action was pushed just above the channel support trendline. However, on Friday, a bearish candlestick printed below the wedge support trendline, indicating that price action is still sideways. Presently, price action is below the lower boundary of the 1.40000/1.42140 multi-year horizontal resistance zone (red). As recent candlestick prints favour bulls, we may see further bullish move in the early part of this week. The 1.41340 area (purple) is operating as the prevailing horizontal resistance on the daily time frame. Any bullish failure may incentivize bears to attempt a southward rotation. The 1.37890 area (sandybrown) is horizontal support on the daily time frame.
The EURUSD market is in a bearish mode but the technical market structure is still bullish. On the monthly time frame, the 1.22310 area (red) is acting as horizontal resistance following its bearish rejection in January and a bearish continuation in February. The interim March market operation is tackling the 1.19430 horizontal support area (green), which it initially pierced southward before retracing northward; and presently settled at the area.
Market operation on the weekly time frame is technically sideways. Recent candlestick prints have been mixed although there have been more bearish prints. Primarily, market operation has been confined to the 1.19430/1.22310 zone since mid-November 2020. Presently, it is at the 1.19430 lower boundary, where last week a relatively average-sized bullish candlestick was printed; apparently a technical attempt to counter the relatively longer bearish print that surged to the area two weeks ago. It should be noted that a rising trendline (red), traceable to May 2020, was broken down by market operation three weeks ago. In the circumstance, any significant bullish drive may be an attempt to retest the trendline before another bearish challenge to break down the 1.19430 horizontal support area (green). However, any such bullish drive will have to contend with the 1.20470 near-term horizonal barrier (magenta).
Price action on the daily time frame is in a falling wedge (blue). Several days ago, technical bearish impulsive drive broke below the 1.19430 horizontal support area (green) and nestled at the wedge support trendline. On Tuesday, a bullish candlestick took price action from the wedge support trendline, while the bullish continuation prints on Wednesday and Thursday made price action break above the broken-down 1.19430 horizontal support area (green). However, on Friday, the long lower shadow of a bearish print settled at the area. But the Friday bearish print technically favours bulls, and we may see further bullish move before a southward turnaround. The 1.20470 area (magenta) is a near-term horizonal resistance that may hinder further bullish drive; also it is potentially an area of value for a bearish turnaround.
Although the USDCAD is technically bearish, we may see further northward retracement in the early part of this week. Technical details on this and three more pairs will be provided before the market opens.
The USDJPY market has been on a bullish mode since February but on the monthly time frame, market operation is in a falling channel (blue). Although toned positively, it is presently at the channel resistance trendline in confluence with the 109.10 multi-year horizontal area (red). The interim March candlestick print is bullish but has an upper shadow, indicating a decline in bullish momentum. The 111.25 area (purple) is the immediate significant horizontal resistance while the immediate significant horizontal support is around 107.30 (green).
Market operation on the weekly time frame is in a bullish mode within a falling channel (blue) seen on the monthly time frame. However, last week, there was a doji-like print near the channel resistance trendline and at the 109.10 multi-year horizontal area (red). This indicates a decline in bullish momentum as price action is tackling the barriers in the area. A bearish rejection of the area may see market operation expose the horizontal support around 107.30 (green).
Recent price action on the daily time frame is around the 109.10 multi-year horizontal area (red). Much of this has been sideways and with an increase in bearish pressure. However, the two candlesticks printed on Thursday and Friday are doji-like, indicating market indecision. Because we have seen an increase in bearish pressure as price action tackles the 109.10 multi-year horizontal area (red), we may see further bearish pressure in the early part of this week before bulls make another attempt to breach the area. Any bullish breakout from the area may be an attempt to retest the resistance trendline of the falling channel (blue) seen on the monthly time frame.
The bearish mode on the USDCAD market experienced a slow-down last week as market operation got near the 1.22600 multi-year horizontal support area (green). On the weekly time frame, the bearish print of two weeks ago barely closed below the low of the bullish print that took it northward four weeks ago. Worse still, last week’s candlestick print was doji-like and had a bullish tinge. This indicates bears are not fully in control of market operation. Although technicals still favour bears, we should await how the market handles the 1.22600 multi-year horizontal support area (green)in the early part of this week. The 1.26000 area (red) is the immediate horizontal resistance on the weekly time frame.
On the daily time frame, price action is in a bearish mode in a falling channel (blue). Presently it is on a northward retracement within the channel. Last week Friday, price action printed a long doji-like candlestick that surged to the 50 Fib area of the recent significant downward swing. But we may see further northward move to a more feasible area of value for potential bearish turnaround, the 61.8 Fib area, which is in confluence with the broken-down horizontal support around the 1.26000 area (red).
The H4 time frame shows price action in a sideway mode after a northward retracement to the 38.2 Fib area of the recent downward swing from the resistance trendline of the falling channel (blue) seen on the daily time frame. Last Friday, bulls made a feeble attempt to take price action further northward, resulting in a relatively small candlestick print. Should bulls make further attempt to take price action northward, we may see a retest of the 1.26000 horizontal resistance area (red) or even the channel resistance trendline. At any rate, as a swing trader, I will await what the market does on Monday.
Despite the bearish mode of recent weeks, the EURUSD market is presently sideways. On the weekly time frame, market operation is consolidating at the 1.19430/1.18930 zone (purple) after the printing of two relatively small opposing candlesticks in the past two weeks. Any further bearish drive this week may expose the horizontal support around the 1.18060 area (green) but a bearish failure may incentivize bulls to effect a pullback to an area of value; such an area is the 1.20000 immediate horizontal resistance (red). Technicals on the weekly time frame give a slight edge to bears.
Price action on the daily time frame is in consolidation after a northward pullback. On Wednesday, price action retested the 50/61.8 Fib zone of the most recent significant downward swing. There was a bearish turnaround on Thursday, but the Friday price action was ambivalent, resulting in a doji-like candlestick print. An ‘M’ formation is being completed and may be actualized by further bearish move to around the 1.18060 area (green). But any bearish failure may give way to further sideways, or a northward pullback, of price action. The recent technical impulse on the D1 tf favours bears.
Price action on the H4 tf is bearish but presently in a sideways mode after a northward pullback. Although the last H4-session on Friday was bearish, the penultimate session had a stronger bullish momentum. Very much likely, we may see further bullish move in the early part of this week before a southward turnaround.
Although the bullish technical structure on the GBPUSD is not yet breached, the bearish pressure on the market operation has continued and may be sustained. On the monthly time frame, the February bullish candlestick print confirmed the 1.40170/1.42530 zone (red) as a solid multi-year horizontal resistance and the interim March market operation is below the area and presently printing in favour of bears. We may see further bearish market operation. The 1.36240 area (green) is the operating horizontal support.
GBPUSD market operation on the weekly time frame is within a rising channel (blue) after moving away from a rising trendline (red), potentially a resistance in the foreseeable future. After the bearish shooting star print of four weeks ago, in the last three weeks the market operation on the weekly time frame has settled into a sideway mode. A relatively small bearish candlestick – an inside bar, was printed last week at the channel support trendline. Technically, in the early part of this week, we may see either a bearish continuation at least to the low of the bullish candlestick printed two weeks ago (around 1.37920) or a sideways of market operation.
After the shooting star printed on February 24, 2021, the technical impulse on the daily time frame is in favour of bears. There was a retracement to the 50 Fib area on March 11, and a retest of the area was attempted last week Wednesday, but this was met with a bearish rejection on Thursday and a bearish continuation occurred on Friday. Further bearish drive will likely complete an ‘M’ pattern around 1.37680 (sandybrown) and may later complete an extended ‘M’ pattern at the 1.36240 major horizontal support area (green).
Here’s a mid-week update on the GBPUSD. The Wednesday close has broken below the support trendline of the falling channel. Although we may see a brief northward pullback, much likely bears are incentivized to expose and break down the 1.36240 major horizontal support (green).
Here’s an update on the EURUSD. The 1.18060 horizontal support area (green) has been breached. A bearish continuation will likely expose the 1.17080 area and later the 1.16350 handle.
The USDJPY market took on a strong positive tone a few weeks ago. On the monthly time frame, the bullish print of February 2021 broke above the 103.00/104.50 consolidation zone (green). The March interim print is a bullish continuation and, presently, the market is at the 109.80/110.60 horizontal resistance area (red).
The USDJPY market structure on the weekly time frame is bullish. A bullish continuation candlestick was printed last week, breaking out of an area of consolidation that resulted from the doji-like print of two weeks ago. We can expect further bullish move this week, particularly to test the upper boundary of the 109.80/110.60 horizontal resistance area (red). Any bearish counter move may see a retest of the consolidation area around 108.90 or the low of the bullish print of last week, which is around 108.40 (light green), and probably exposing the 108.00 area (sandybrown).
Price action on the daily time frame is respecting an inner rising trendline (blue) after moving northward of an outer rising trendline (red) traceable to January 27, 2021. We may see a bullish surge in the early part of this week to grab liquidity at or above the 109.80/110.60 horizontal resistance area (red). Any bullish failure, however, may be seized upon by bears for a retest of the outer rising trendline (red) or an area of value such as the 108.40/108.00 zone.
Although the GBPUSD market structure is technically still bullish, market operation is in a consolidation or sideways mode. On the monthly time frame, the interim March print is bearish, but it is still within the mid-range of the bullish print of February. The 1.423330 area (red) is the operating horizontal resistance while the 1.35640 area (green) is horizontal support.
On the weekly time frame, GBPUSD market operation is in a rising channel (red). Market operation has been in consolidation for several weeks but with an increase in bearish tone. Last week, a bearish candlestick attempted to break below an area of consolidation that has been in place for three weeks. It surged southward for about 90 pips of the area but snapped back northward to close at the lower boundary of the consolidation area, producing a long bottom tail which retested the channel support trendline. We may see a further attempt to break down the area of consolidation and the rising channel in the early part of this week.
An extended ‘M’ pattern is being formed on the daily time frame. Meanwhile, price action is in a northward, bullish mode after the bullish continuation print of Friday. Price action is presently located at the mid-line of the emerging ‘M’ pattern around 1.37860. Any bearish turnaround may lead to the consummation of a potential extended ‘M’ pattern at the 1.35640 area (green).
The EURUSD market is still in a bearish mode. On the monthly time frame, the interim bearish print has broken below the low of the bullish print of December 2020. The 1.16100 area (green) is the horizontal support on the monthly time frame.
On the weekly time frame, last week, a bearish candlestick print broke below the 1.19560/1.19070 consolidation area (red), technically initiating a bearish continuation. The 1.16100 area (green) is the prevailing horizontal support and may be an initial target of further bearish price action. Any bullish effort may retest the 1.19560/1.19070 consolidation area (red), possibly to confirm its role flip as resistance.
Price action on the daily time frame is in a falling wedge (red) and presently at the wedge support trendline. A bearish candlestick broke below the channel support trendline on Thursday, but a bullish candlestick briefly punched above it before nestling on it. Any further bullish move in the early part of this week may see a retest of the broken down previous horizontal support area around 1.19560/1.19070 (red), which may extend to the 1.20120 area for potential liquidity grab. Nevertheless, such a move is likely to be temporary in nature as technicals still favor bears.
The USDJPY market continues a bullish tone. On the monthly time frame, the March 2021 bullish candlestick broke above the 110.20 previous horizontal resistance area. The next horizontal resistance zone is at the 111.10/112.35 area (red). Technicals still favour bulls.
On the weekly time frame, two bullish continuation candlesticks were printed in the last two weeks, taking market operation from an area of consolidation around the 108.60/109.31 area (green). Technicals and order flow context favour further bullish drive. Such a move may expose the 111.10/112.35 horizontal resistance area (red).
Price action on the daily time frame is in a rising channel (blue). Presently, it is in a sideways mode. Technicals and the order flow context favour bulls.
GBPJPY market operation on the monthly time frame is bullish. Bullish continuation candlesticks have been printed since February when market operation broke out from the previous horizontal resistance 143.25/141.35 area (green), which is presently the operating horizontal support. The 153.50/156.50 zone (red) is a multi-year horizontal resistance, and the interim April candlestick has inched inside it. Are we going to see a southward turnaround from the zone?
GBPJPY market operation on the weekly time frame is strongly bullishly toned. Bulls successfully dealt with the bearish interruption of three weeks ago with a relatively strong bullish continuation print last week. Meanwhile, market operation is approaching the 153.50/156.50 multi-year horizontal resistance zone (red), a zone which is technically susceptible to at least a bearish correction.
Although GBPJPY price action is still technically bullish on the daily time frame, recent bearish prints indicate an increase in bearish pressure. The 153.50 area (red) is the lower boundary of the 153.50/156.50 multi-year horizontal resistance zone seen on the weekly time frame. I will await what price action does around the 153.50 area in the early part of this week. Meanwhile, we should note that price action recently broke below a rising trendline (red) before reconnecting with it for a bullish mode. Another break of price action below the trendline may signpost a significant southward turnaround.
In the GBPUSD market, the 1.43550 area is a multi-year horizontal resistance. On the monthly time frame, the February 2021 bullish candlestick edged towards the area but could not breach it, and the bearish candlestick printed in March opened several pips below it before continuing southwards. Technicaly, this situation favours bears but market operation is presently in a sideways. The 1.36040 area (green) is the operating horizontal support.
Market operation is in a rising channel (red) on the weekly time frame. However, it is presently in a sideways mode after the printing of two opposing candlesticks of equivalent size in the last two weeks; the candlesticks having their lower shadows nestled at the channel support trendline. Nevertheless, the order flow context shows an increase in bearish pressure.
Price action on the daily time frame is presently in a falling channel (blue) within a larger rising channel (red) seen on the weekly time frame. This indicates a bearish price action mode. However, on Thursday, a bullish candlestick took price action further northwards towards the falling channel resistance trendline. On Friday, a doji-like candlestick retested the falling channel resistance trendline before nestling on it, at an area which is in confluence with the 1.38350 minor horizontal resistance area. Any bearish turnaround would technically target the 1.36040 horizontal support area (green). Nevertheless, we cannot rule out the likelihood of sideways price action in the early part of this week before any directional drive.
Bullish sentiment continues in the EURUSD market, although on the monthly time frame, a bearish continuation candlestick was printed in March 2021 which broke down the previous horizontal support around the 1.19550 area (red). This, however, does not mean a breach of the technical structure of the EURUSD market, which is still bullish. It would take a bearish breakdown of the 1.15600 area (green) for the bullish technical structure on the monthly time frame to give way on a sustainable basis.
Market operation on the weekly time frame is bearish. In the last two weeks, bearish continuation candlesticks have broken below an area of consolidation that was created in the first week of March. Should bears maintain their influence in the market, we may see the completion downleg of an emerging ‘M’ pattern. The 1.15600 area (green) is the immediate horizontal support.
Price action on the daily time frame is presently in a sideways mode as it retraces northward. As recent technical impulse favours bears, we may see a southward turnaround after retracement to an area of value; such an area is the 1.18400 minor horizontal resistance (magenta).
I have just completed the weekly pre-market screening and analysis of the pairs on my watch list. USDCAD seems to me an interesting pair which I expect to continue bearish next week. Details on this pair and three others will be presented here before the market opens.
