Aggressive sales were observed on USD/CAD yesterday. It is caused by the fall of the “black gold” price. I’m going to wait for a correction to the 1.3490 mirror support. After the price reaches it, I’ll open longs. The goal for taking profit is 1.3520.
Aggressive sales were on GBP/USD. The pound is under pressure due to the results of the parliamentary elections in the UK. The Conservative Party won 314 seats, which is less than is required for the majority (326 seats). I plan to open deals in the current trend direction. I’ll sell GBP/USD, if the price fixes below the 1.2650 support. Target level - 1.2600. Potential entry points into the market may appear within a few days.
A correction is observed on USD/JPY now. It seems to me that the growth of this currency pair may continue. I plan to buy it after the price fixes above the 110.40 local resistance. Potential movement - to 111.00. The dollar is supported by the positive dynamics of the US government bonds yield.
Aggressive sales were observed on USD/CAD on Friday. This happened due to the release of a strong report on the Canada labor market. I plan to open trades in the current trend direction. I’ll sell the pair, if the price fixes below the 1.3440 local support. The goal of the price movement if 1.3420-3400.
A technical correction on NZD/USD shows us an opportunity of a correction after a significant growth during the next weekend. The price is testing the 0.7190 mirror resistance at the moment. I’ll sell it, if the price fixes below the 0.7180 local support. Potential movement – to 0.7125. I’ll use a trailing stop.
There is a downward trend on USD/CHF. I’m going to open shorts if the price fixes below the 0.9665 local support. The goal for taking profit is 0.9630.
My yesterday’s expectations for USD/CAD have justified. The market was pressed by aggressive sales. The deputy head of the Bank of Canada noted that the regulator may discuss the question of the interest rate raising in the nearest future.
The technical pattern is ambiguous now. I don’t exclude a technical correction. The USD/CAD has formed a rather strong reversal formation – the divergence of the price and the MACD histogram.
I’ll buy, if the price fixes above the 1.3290 local resistance. Potential movement – to 1.3340.
I’ll sell the pair, if the price overcomes the 1.3255 mark. The goal for taking profit is 1.3225.
The Fed meeting is in the focus today. The market will be volatile. I decided not to open positions today. The situation is ambiguous at the moment. Most experts believe that the Fed will raise the interest rates. At the same time, the weak statistics on inflation and retail sales in the US has been published recently. The dollar has sharply weakened against the major world currencies. I plan to wait for comments of the Fed representatives and the FOMC economic forecasts.
I’ve identified the following key levels and will watch how the price reacts to them. I’ll be back to trading tomorrow. Wish you all nice profits!
GBP/USD
support: 1.2725, 1.2650
resistance: 1.2810, 1.2900
The Fed supported the US currency yesterday. The regulator has raised the key interest rate range by 25 basis points to 1.00-1.25%. The Central Bank noted positive changes in the economy and intends to start cutting assets on their balance. I expect the growth in demand for the US dollar in the nearest future.
My fav reversal formation has formed on USD/CAD. You can notice the divergence of the price and the MACD histogram on the chart below. I’ll buy, if the price fixes above the 1.3265 local resistance. Potential movement - to 1.3340.
Bears dominate on NZD/USD now. New Zealand’s GDP growth was less than market expectations were in the first quarter of 2017. There also was an increase in demand for the US dollar. I plan to sell the pair, if the price fixes below 0.7210. The goal for taking profit is 0.7175.
Bulls dominate on USD/JPY. The Bank of Japan is going to adhere to a soft monetary policy. I plan to open deals in the current trend direction. I’ll buy the pair, if the price fixes above the 111.35 local resistance. The nearest goal for taking profit is 111.70.
The technical pattern on AUD/USD is ambiguous at the moment. I’ve defined the following key S&R levels: 0.7575 and 0.7630. I’ll open deals, if the price fixed above/below these marks. Potential entry points can appear during the next several days.
I’ll buy the pair to the 0.7675 mark, if the price fixes above the 0.7630 local resistance.
I’ll open shorts, if it fixes below 0.7575. Potential movement – to 0.7530.
The US currency has moved away from local extremes due to the publication of weak economic reports from the United States. The dollar index has closed the trading session in a negative zone.
An interesting technical pattern has appeared on GBP/USD. I expect a further correction. I plan to buy it, if the price fixes above 1.2810. Potential movement - to 1.2860. Potential entry points to the market may appear in several days.
EUR/USD is traded in a flat with a rather narrow range (1.1180-1.1205). The trading instrument is consolidating. I plan to open short-term speculative positions, if the price fixes above/below the range limits.
In case of breakdown of the 1.1205 mark, I’ll buy EUR/USD to the 1.1240 level.
I’ll sell it to 1.1145, if the price fixes below 1.1180.
Yesterday, the head of the Federal Reserve Bank of New York Dudley supported the demand for the American currency.
Sellers dominate at EUR/USD currently. I plan to open deals in the current trend direction. I’ll open shorts, if the price fixes below the 1.1140 key support. The goal for taking profit is the 1.1100 round level.
An interesting pattern appeared on GBP/JPY. The bearish sentiment is predominating now. I plan to sell it, if the price fixes below the 141.40 local support. Potential movement - to 140.75-139.85. I will use a trailing stop for this position.
There is a correction on AUD/USD now. I expect the future fall of the quotes. I’ll sell (with a trailing stop), if the price fixes below the 0.7550 local support. The nearest goal for taking profit is 0.7520-0.7500.
Buyers had strength on USD/CAD yesterday. An Ascending Triangle has emerged on the chart and it signalizes about the current trend continuation. The price has overcome the high of this figure. I’ll buy, if the pair fixes above the 1.3300 round level. The goal for taking profit is 1.3340.
The US dollar moved away from local extremes yesterday. EUR USD is traded near the 1.1175 key resistance. I expect a downward trend, and I’ll sell it, if the price fixes below the 1.1160 local support. Potential movement - to the 1.1120-1.1130 demand zone. This will be a short-term speculative deal.
