InvestMacro

By Orbex

GBPUSD tests key floor

The pound plummeted after the Bank of England held interest rates against expectations.

The plunge below the daily support at 1.3570 has caught buyers off guard. Those who bet on a rebound around 1.3600 have rushed to the exit, raising volatility in the process. The September low at 1.3430 would be the next target.

An oversold RSI may attract some buying interest, though buyers might be cautious to avoid catching a falling knife. The supply zone between 1.3640 and 1.3700 could keep the sterling under pressure.

USDJPY consolidates gains

The US dollar consolidates recent gains as traders digest the start of the Fed’s taper.

The pair is seeking support around the 20-day moving average after a parabolic rise sent it to a four-year high. An overbought RSI from the daily chart is a sign of exhaustion and traders may be reluctant to push higher.

The greenback has found bids along the demand zone over 113.30. The bulls need to clear the fresh hurdle at 114.45 before they could resume the uptrend. A bearish breakout would trigger a sell-off towards 112.50.

US 500 grinds to new highs

The S&P 500 continues to climb as the Fed deliberately leaves rate hikes off the table. The rally has gained momentum after the index cleared the previous peak at 4550.

Sentiment remains bullish, but an overbought RSI in the daily timeframe may call for a pause. Overextension is also on the hourly chart as the RSI repeatedly ventures above 70.

The bulls are pushing towards the psychological level of 4700. 4620 on the 30-hour moving averages may attract trend followers’ bids in case of a pullback.

Article by Orbex

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Article by ForexTime

ForexTime Ltd (FXTM) is an award winning international online forex broker regulated by CySEC 185/12 www.forextime.com

By Orbex

The formation of the DXY stock index suggests a correction wave b of a cycle degree. Perhaps it takes the form of a simple Ⓐ-Ⓑ-Ⓒ zigzag of the primary degree.

The final primary wave Ⓒ is currently under construction. In fact, the wave takes the form of an impulse and consists of intermediate sub-waves (1)-(2)-(3)-(4)-(5)

Most likely, the minor correction 4 in the form of a triple zigzag, which is part of the bullish impulse (5), has recently come to an end.

In the near future, we could expect an increase in the minute impulse, as shown on the chart. This can complete the minor fifth wave and with it the intermediate impulse (5) near 94.97.

At that level, minor sub-wave 5 will be at 76.4% of minor sub-wave 3.

According to the alternative take, the correction wave 4 may not have ended. If the assumption is correct, then now we see only the construction of a minute correction ⓧ. This assumes the form of a simple bullish (a)-(b)-(c) zigzag.

The sub-waves (a) and (b) in this correction have ended, whereas the impulse (c) is still being formed. In impulse (c) the price could rise and then lower to the 93.16 area as shown on the chart.

Article by Orbex

Orbex is a fully licensed broker that was established in 2011. Founded with a mission to serve its traders responsibly and provides traders with access to the world’s largest and most liquid financial markets. www.orbex.com

By Orbex

EURUSD claws back losses

The US dollar fell after the Federal Reserve called for patience on raising interest rates.

The pair has met strong resistance at 1.1690, a previous demand zone on the daily chart that has turned into a supply one. The latest sell-off has been contained by 1.1535, near the base of the recent rebound as an oversold RSI attracted some bargain hunters.

A surge above the intermediate resistance of 1.1620 would bring in more momentum traders. Then a break above 1.1690 could kickstart a bullish reversal in favor of the euro.

XAUUSD tests resistance

Gold recovers as the US dollar softens across the board following a neutral FOMC.

Price action had previously struggled to clear the supply area around 1810, the origin of the September correction. The subsequent fall below the support at 1785 has prompted buyers to take profit.

However, the RSI’s repeated oversold situation has caught buyers’ attention at the daily support at 1760. 1785 is the hurdle ahead and a bullish breakout would resume the recovery. Failing that, the bears may push towards 1740.

USOIL falls back for support

WTI crude slipped after the EIA reported a larger increase in US inventories. The psychological level of 85.00 has been an effective hurdle so far.

The previous fall below 81.00 has put the bulls on the defensive, especially after their failure to achieve a new high above 84.70. This is a confirmation that sentiment has grown cautious after the price’s recent vertical ascent.

The RSI’s overbought situation on the daily chart could call for a pullback. 79.50 is the closest support. Its breach may send the price to 76.50.

Article by Orbex

Orbex is a fully licensed broker that was established in 2011. Founded with a mission to serve its traders responsibly and provides traders with access to the world’s largest and most liquid financial markets. www.orbex.com

Article By RoboForex.com

USDCHF, “US Dollar vs Swiss Franc”

As we can see in the H4 chart, USDCHF is trading below the 200-day Moving Average, thus indicating a descending tendency. In this case, the price is expected to test 5/8, break it, and then continue falling to reach the support at 4/8. However, this scenario may be cancelled if the price breaks the resistance at 6/8 to the upside. After that, the instrument may continue growing towards 7/8.

In the M15 chart, the pair may break the downside line of the VoltyChannel indicator and, as a result, continue trading downwards.

XAUUSD, “Gold vs US Dollar”

In the H4 chart, after breaking the 200-day Moving Average, XAUUSD is trading below it, thus indicating a descending tendency. In this case, the price is expected to test 1/8, break it, and then continue moving downwards to reach the support at 0/8. However, this scenario may no longer be valid if the price breaks 2/8 to the upside. After that, the instrument may reverse and grow towards the resistance at 3/8.

As we can see in the M15 chart, the pair has broken the downside line of the VoltyChannel indicator and, as a result, may continue its decline.

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

Article By RoboForex.com

NZDUSD, “New Zealand Dollar vs US Dollar”

NZDUSD is trading at 0.7141; the instrument is moving inside Ichimoku Cloud, thus indicating a sideways tendency. The markets could indicate that the price may test the cloud’s upside border at 0.7165 and then resume moving downwards to reach 0.7020. Another signal in favour of a further downtrend will be a rebound from the descending channel’s upside border. However, the bearish scenario may no longer be valid if the price breaks the cloud’s upside border and fixes above 0.7205. In this case, the pair may continue growing towards 0.7305.

GBPJPY, “Great Britain Pound vs Japanese Yen”

GBPJPY is trading at 155.94; the instrument is moving below Ichimoku Cloud, thus indicating a descending tendency. The markets could indicate that the price may test the cloud’s downside border at 156.45 and then resume moving downwards to reach 153.00. Another signal in favour of a further downtrend will be a rebound from the descending channel’s upside border. However, the bearish scenario may no longer be valid if the price breaks the cloud’s upside border and fixes above 157.35. In this case, the pair may continue growing towards 158.45.

AUDUSD, “Australian Dollar vs US Dollar”

AUDUSD is trading at 0.7432; the instrument is moving below Ichimoku Cloud, thus indicating a descending tendency. The markets could indicate that the price may test Tenkan-Sen and Kijun-Sen at 0.7445 and then resume moving downwards to reach 0.7325. Another signal in favour of a further downtrend will be a rebound from the rising channel’s downside border. However, the bearish scenario may no longer be valid if the price breaks the cloud’s upside border and fixes above 0.7535. In this case, the pair may continue growing towards 0.7625.

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

by JustForex

The EUR/USD currency pair

Technical indicators of the currency pair:

• Prev Open: 1.1579
• Prev Close: 1.1612
• % chg. over the last day: +0.28%

The ECB President Christine Lagarde said yesterday that the ECB wouldn’t have a reason to raise interest rates next year as the inflation outlook in the medium term remained restrained. Given the ECB’s conservatism, Europe will remain soft on monetary policy for the longest time. Europe’s unemployment rate slightly decreased from 7.5% to 7.4%.

Trading recommendations

• Support levels: 1.1573, 1.1548, 1.1502, 1.1453
• Resistance levels: 1.1618, 1.1645, 1.1667, 1.1717, 1.1772

From the technical point of view, the EUR/USD is bearish on the hour time frame. But the price managed to return above the breakdown level, which indicates a possible false break move. Under such market conditions, traders should consider sell positions from the resistance levels near the moving average. It is best to look for buy trades from the support levels of lower time frames given the buyers’ initiative, but only with short targets.

Alternative scenario: if the price breaks out through the 1.1667 resistance level and fixes above, the mid-term uptrend will likely resume.

News feed for 2021.11.04:

• – Eurozone Services PMI (m/m) at 11:00 (GMT+2);
• – US Initial Jobless Claims (w/w) at 14:30 (GMT+2);
• – Eurozone ECB President Lagarde Speaks at 15:00 (GMT+2).

The GBP/USD currency pair

Technical indicators of the currency pair:

• Prev Open: 1.3612
• Prev Close: 1.3684
• % chg. over the last day: +0.53%

The Bank of England will hold its monetary policy meeting today. Analysts don’t have a single opinion. Most experts think that the Bank of England will not immediately raise the interest rates. Still, the stimulus program may be reduced from November, especially considering that the Fed has officially started to reduce the QE.

Trading recommendations

• Support levels: 1.3617, 1.3532, 1.3457, 1.3360
• Resistance levels: 1.3685, 1.3748, 1.3780, 1.3831, 1.3886

On the hourly time frame, the trend on GBP/USD has changed to bearish. The MACD indicator has become inactive, and the price has formed a wide price corridor. Buy trades should be considered only from the support levels of the higher time frame. It is best to look for sell deals from the resistance levels around the moving average.

Alternative scenario: if the price breaks out through the 1.3780 resistance level and consolidates above, the bullish scenario will likely resume.

News feed for 2021.11.04:

• – UK Construction PMI (m/m) at 11:30 (GMT+2);
• – UK BoE Interest Rate Decision (m/m) at 14:00 (GMT+2);
• – UK BoE Monetary Policy Report (m/m) at 14:00 (GMT+2);
• – UK BoE Gov Bailey Speaks at 15:00 (GMT+2).

The USD/JPY currency pair

Technical indicators of the currency pair:

• Prev Open: 113.96
• Prev Close: 113.96
• % chg. over the last day: 0.00%

After the announcement of the “tapering” from the Fed, fundamentally, the dollar index will be inclined to rise, which will lead to the growth of USDJPY quotes. The Japanese yen is highly correlated with the dollar index, and Japan’s monetary policy will remain soft for at least a few more months.

Trading recommendations

• Support levels: 113.42, 112.30, 111.53, 110.99, 110.65
• Resistance levels: 114.48, 115.15

The main trend of the USD/JPY currency pair is bullish. The price is trading in a wide price corridor. The MACD indicator has become positive, which indicates buyers’ pressure. Under such market conditions, it’s better to look for buy positions from the buyers’ initiative zones on the lower time frames. Sell positions should be considered from the resistance levels of a higher time frame, given there is sellers’ initiative.

Alternative scenario: if the price falls below 112.30, the uptrend will likely be broken.

There is no news feed for today.

The USD/CAD currency pair

Technical indicators of the currency pair:

• Prev Open: 1.2404
• Prev Close: 1.2387
• % chg. over the last day: -0.14%

The Canadian dollar is a commodity currency, so the USD/CAD currency pair highly depends on the dynamics of the dollar index and oil prices. Yesterday, The dollar index sharply fell on the news about reducing the QE program but recovered its position by the end of the trading session. At the same time, oil prices continued to fall ahead of the OPEC+ meeting, which is scheduled today. As a result, USD/CAD quotes were very volatile.

Trading recommendations

• Support levels: 1.2352, 1.2306, 1.2260
• Resistance levels: 1.2428, 1.2518, 1.2565, 1.2628, 1.2729, 1.2774

From the technical point of view, the trend of the USD/CAD currency pair is bearish. Yesterday, the price attempted to break through the priority change level, but the sellers sharply returned the price back to the wide corridor, forming a false breakout zone. Under such market conditions, it is better to look for sell deals from the false breakout area. Buy trades should be considered from the support levels, given there is the buyers’ initiative.

Alternative scenario: if the price breaks out through the 1.2428 resistance level and fixes above, the uptrend will likely resume.

News feed for 2021.11.04:

• – OPEC+ Meeting (All Day).

by JustForex

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

Article By RoboForex.com

USDJPY, “US Dollar vs. Japanese Yen”

As we can see in the H4 chart, USDJPY is trading above the 200-day Moving Average, thus indicating an ascending tendency. In this case, the price is expected to test 6/8, break it, and then continue growing to reach the resistance at 7/8. However, this scenario may no longer be valid if the price breaks 5/8 to the downside. After that, the instrument may reverse and fall towards the support at 4/8.

In the M15 chart, the pair may break the upside line of the VoltyChannel indicator and, as a result, continue its growth.

USDCAD, “US Dollar vs Canadian Dollar”

As we can see in the H4 chart, USDCAD is trading below the 200-day Moving Average, thus indicating a descending tendency. In this case, the price is expected to test 6/8, break it, and then continue falling towards the support at 5/8. Still, this scenario may no longer be valid if the price breaks 6/8 to the upside. After that, the instrument may correct to reach the resistance at 7/8.

In the M15 chart, the pair may break the downside line of the VoltyChannel indicator and, as a result, continue trading downwards to reach 5/8 from the H4 chart.

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

By Orbex

AUDUSD breaks lower

The Australian dollar softened after a dovish RBA stressed that inflation was still too low to hike soon.

The pair has met stiff selling pressure near last July’s high of 0.7550. While sentiment has turned positive from the daily chart’s perspective, an overbought RSI has made buyers cautious.

The drop below 0.7490 then 0.7450 has forced out leveraged positions, exacerbating the downward pressure. 0.7380 on the 30-day moving average would be the next support. An oversold RSI may attract bids in this congestion area.

NZDUSD retreats from double top

The New Zealand dollar bounced back after the Q3 unemployment rate fell to 3.4%.

A double top at 0.7220 suggests exhaustion in the kiwi’s ascent after the RSI repeatedly pointed to an overbought situation. A break below 0.7130 indicates that the bears have gained the upper hand, pushing the opposing side to close their bets.

The previous supply zone around 0.7070 has turned into a demand zone. This coincides with the 30-day moving average, and along with an oversold RSI, it may gain support from a buy-the-dips crowd.

UK 100 tests demand zone

The FTSE 100 consolidates gains as investors turn their attention to the US Federal Reserve meeting.

The bulls are looking to get a foothold after a close above the August peak at 7240. The RSI’s double top in the overbought zone is a sign of overextension in the short term.

Trend followers may look to stake in at the psychological level of 7200, a key demand zone on the 20-day moving average. A bearish breakout would deepen the pullback to 7140. On the upside, a rebound above 7310 would resume the rally.

Article by Orbex

Orbex is a fully licensed broker that was established in 2011. Founded with a mission to serve its traders responsibly and provides traders with access to the world’s largest and most liquid financial markets. www.orbex.com