AUDUSD formed a cycle bottom at 0.8858 level on 4-hour chart. Now the rise from 0.8858 could possibly be resumption of uptrend from 0.8066 (May 25 low) and the fall from 0.9079 is treated as correction of uptrend. Another rise towards 0.9221 would more likely be seen after correction, however, a break above 0.9079 is needed to confirm such case. On the other side, below 0.8858 will indicate that the pair remains in downtrend from 0.9221, then next target would be at 0.8700-0.8800 area.
By GCI Forex Research
Fundamental Outlook at 1400 GMT (EDT + 0400)
USD
The successful issue of bonds in Spain and Ireland were arguments in favour of the euro yesterday. The fact that the euro was nonetheless unable to defend levels around 1.29 due to weakening stock markets overnight supports our theory though: the structural issues remain, only over boarding risk appetite supports the euro short term. While Greek CDS remain at levels around 800bp market signals are obvious: They do not believe that the aid packet for Greece will work. That is not going to be an issue over the next few days or weeks. But the fact that EUR-USD risk reversals trade more negatively the longer the maturity means that EUR risks are still considered to be real. Even if EUR-USD might be able to appreciate in phases when little data is released (as is the case this week) as long as risk appetite is on the up (as illustrated by the stock market performance of indirectly by the VIX) there is very little upward scope. In particular as the biggest threat for the dollar is unlikely to become virulent today. Fed officials are not planning any speeches. Tomorrow the head of the St. Louis Fed James Bullard might once again fuel doubts about the Fed’s policy with his demands for further bond purchases.
EUR
Ireland’s 2014 and 2020 bond auctions largely passed without incident. Spreads were already tightening ahead of the auction, and final bid-to-cover ratios of 5.4 and 2.4 respectively show that demand remains firm. The Spanish auction of bills was also firm and the sharp decline in borrowing costs will be a welcome respite for the government, though investors will closely monitor fiscal conditions. But the Irish central bank governor signaled that the domestic banking system would need more capital, so financial sector capitalization remains an issue.
GBP
Consumer price inflation in the UK continues to fall but only hesitantly. As expected the yoy rate had eased only slightly in July to 3.1% compared with 3.2% in June. Once again the governor of the Bank of England, Mervyn King, had to explain in a letter to the Minister of Finance why the rate of inflation had exceeded the inflation target of 2% by more than 1 percentage point. In the letter King essentially repeated the information published in the BoE’s last inflation report. Exogenous factors (VAT, commodity prices, weaker Sterling) are responsible for the fact that inflation pressure is easing only slowly and that is unlikely to change soon. While the BoE gives exogenous reasons for the high rate of inflation and continues to assume that the rate will drop to below 2% in 2012 rate rise expectations are likely to be premature. In particular as the core rate of inflation fell more notably than expected to 2.6% in July. The minutes of the last rate meeting due for publication today are likely to show that central bank member Andrew Sentance once again voted in favour of a rate rise. That is unlikely to be enough to support Sterling. Quite the contrary, markets might be disappointed if no other member shared Sentance’s view.
JPY
Kaneko, a DPJ lawmaker in the upper House of Councillors, called for FX intervention on the grounds that “intervention is necessary to show that the government cannot accept the current level”, of the yen although he accepted that the impact of doing so without international coordination would be limited”.
TECHNICAL OUTLOOK
EURUSD BEARISH Momentum is negative; next support below 1.2604 lies at 1.2152 ahead of 1.1877 key low. Initial resistance at 1.2933 ahead of 1.3334
USDJPY BEARISH Next big support below 84.73 lies at 79.95. Near-term resistance at 87.15 ahead of 88.12
GBPUSD NEUTRAL Model is neutral; pressure on 1.5536 initial support break of which would expose 1.5324. Need a break above 1.5999 for resumption of bullish trend.
USDCHF BEARISH Stalled above 1.0332; break of the level would open 1.0131 ahead of 0.9918 key support. Near-term resistance is defined at 1.0534 ahead of 1.0676
AUDUSD NEUTRAL Model is neutral; 0.9222 and 0.8860 mark the near-term directional triggers.
USDCAD NEUTRAL Momentum is slowing; while support holds at 1.0108, resistance is defined at 1.0494 ahead of 1.0680
EURCHF BEARISH Currently holds support at 1.3272 break of which would expose 1.3074. Near-term resistance at 1.3539 ahead of 1.3924
EURGBP BEARISH Outlook is bearish; violation of 0.8068 would expose 0.7694 next. Short-term resistance is defined at 0.8363
EURJPY BEARISH Trend is bearish; focus is on 107.32; move below the level would open 104.72. 111.57 defines the near-term resistance
Forex Daily Market Commentary provided by GCI Financial Ltd.
GCI Financial Ltd (”GCI”) is a regulated securities and commodities trading firm, specializing in online Foreign Exchange (”Forex”) brokerage. GCI executes billions of dollars per month in foreign exchange transactions alone. In addition to Forex, GCI is a primary market maker in Contracts for Difference (”CFDs”) on shares, indices and futures, and offers one of the fastest growing online CFD trading services. GCI has over 10,000 clients worldwide, including individual traders, institutions, and money managers. GCI provides an advanced, secure, and comprehensive online trading system. Client funds are insured and held in a separate customer account. In addition, GCI Financial Ltd maintains Net Capital in excess of minimum regulatory requirements.
DISCLAIMER: GCI’s Daily Market Commentary is provided for informational purposes only. The information contained in these reports is gathered from reputable news sources and is not intended to be U.S.ed as investment advice. GCI assumes no responsibility or liability from gains or losses incurred by the information herein contained.
In the August issue of his Elliott Wave Theorist, market forecaster Robert Prechter alerted readers that the U.S. stock market was slicing the neckline of a classic head-and-shoulders pattern in technical analysis, and that this may send the market into critical condition.
Prechter said that when the Elliott wave count and a head-and-shoulders pattern are saying the same thing about the stock market, it’s best to pay attention.
Here’s how the August issue of the Elliott Wave Financial Forecast, the sister publication to Prechter’s Theorist, described the head and shoulders pattern unfolding in the stock market:
“The weekly Dow chart [below] shows the development of an intermediate-term, head-and-shoulders pattern from the January high at 10,729.90 to the present. The January high marks the left shoulder, the April 26 high at 11,258 is the head, and the right shoulder is now ending. The April [Theorist] discussed the pertinent characteristics that Edwards and Magee used to define this technical pattern … all apply to the current formation. Observe how weekly stock trading volume has contracted during the development of the right shoulder, a necessary trait of this pattern. The downward-sloping neckline — exactly as on the big ten year pattern — displays market weakness, which is consistent with our interpretation of the wave structure.”
This chart shows the head-and-shoulders pattern.
Here’s what Robert Prechter himself said in a recent Elliott Wave Theorist:
“Generally, when the neckline slopes downward, the right shoulder does not rise to the level of the left shoulder …”
Please look at the chart again — then re-read Prechter’s quote.
This article was syndicated by Elliott Wave International and was originally published under the headline Slicing the Neckline: When the Market May Go into “Critical Condition”. EWI is the world’s largest market forecasting firm. Its staff of full-time analysts lead by Chartered Market Technician Robert Prechter provides 24-hour-a-day market analysis to institutional and private investors around the world.
By Jonathan Dayan – Finding the right financial trading platform isn’t simple. These days there are a lot of platforms on the market and they all seem to offer something different. Whether you’re an experienced trader or you’re just starting to explore financial trading for yourself it can be a time-consuming process to find the right trading platform. The quality of the platform you choose can have a huge impact upon your trading experience, which makes it worth your while to spend some time investigating the options which exist. In this article we’ll examine a few key features to look for when you’re trying to identify the platform that’s right for you.
1. A user-friendly platform
Not all trading platforms are equal. A good trading platform will make your trading experience much more comfortable and rewarding. In fact, choosing a trading platform is not altogether unlike choosing a car. Because you’re likely to spend many hours using both products you want something which will be reliable, enjoyable to use, safe and secure, fast and legal. Unfortunately an alarming proportion of all the trading platforms out there fall short across one or more of these key criteria.
Your trading platform should be as user friendly as possible, simple, intuitive, visual and rewarding. Too many trading platforms make the process of trading complicated and frustrating with complicated interfaces, compulsory downloads, slow loading times, outdated security protocols – the list is ongoing. Look for a trading platform which is widely used – there are few better stamps of approval than the trading community itself.
3. A free practice account
Your path to success should always start with practice trading. Practice trading means a free demo account where you can get to grips with the trading platform which you’ll be using without giving over your credit card – so beware of anyone offering a supposedly free account who immediately requests you hand over your card details. You should use your practice account to comprehensively test out the trading platform you’ve selected, prior to depositing money. As a result, the one or two day practice trial periods which some brokers will offer you aren’t sufficient for the purpose. Look for a broker who will offer you a trading period of between a week and a month. In addition, a very few brokers will offer you opportunities to earn rewards even from your practice account. You can use practice trading to develop the strategy which you’ll be using when you start trading the markets for real, but remember that practice really does have its limits: the style which you adopt in practice trades will differ markedly from the way you trade when your money is on the line for real.
3. Personal service
Personal service is extremely important when you’re financial trading. Whether you need to urgently withdraw or deposit funds or there’s a glitch in your system that you need remedied, fast, it’s good to know that there’s a specific someone at the other end of an email address or phone line who will handle your requirements personally. A lot of brokers say that they offer personal service but it is not always clear that their claims live up to the reality. Read the reviews and check the feedback of other traders you know rather than taking your broker on their word. In practice the majority of brokers will offer you a different service experience depending upon the service level they offer you. Brokers who offer Gold level and VIP level service will tend to extend the best service to those clients. Service is particularly important where withdrawals are concerned. Slow withdrawal times are one of the key complaints leveled against a lot of financial trading brokers so investigate this issue before you commit funds.
4. An easy to follow training course
Sooner or later, you’ll need to ramp up your trading knowledge to get serious as a trader. A simple, usable and preferably free e-learning course will help you progress as a trader and encounter new ways to analyze the financial markets. Many training courses are impossibly complex and seem to assume, and even require, an expert’s level of knowledge even prior to embarking on the course which is pretty self-defeating. Look for brokers who offer well respected trading courses and for this purpose review the internet and check the feedback from people who’ve used the products before. Don’t expect miracles. Improving as a trader is an ongoing process and any product or broker that promises to transform you into George Soros overnight is probably not to be trusted. That said, you can get a lot out of a good trading guide – particularly if it’s visual and does not require you to read through page after page on Elliot-Wave theory and stochastic oscillators.
5. A community of traders
An active and open trading community offers an incredible range of trading opportunities to traders at all levels of experience, like the ability to see, follow and copy the trades of other experienced traders. It’s an ideal opportunity for you to get ahead in your trading: fast. What makes community trading so exciting are the possibilities it offers for every trader to enrich their trading experience by cooperating with other traders to share hints and tips about the trading market. A large and active financial trading community can be the single most enriching feature offered by an individual trading platform. Because social trading communities enable you to interact directly with other traders, rather than going through brokers as an intermediary, they avoid the concern of possible conflict of interest which arises whenever a trader is in the position of relying directly upon their broker for accurate information about the market. The more dynamic a trading community is, the more opportunities it can potentially offer to a trader. To learn more about social trading communities visit the free to use eToro social trading network OpenBook, the largest and most active financial trading community in the world.
Disclaimer: Trading in the Foreign Exchange market might carry potential rewards, but also potential risks. You must be aware of the risks and are willing to accept them in order to trade in the foreign exchange market. Don’t trade with money you can’t afford to lose.
By Sylvain Vervoort – With this article we have a look at the candlestick charts bottom reversal patterns. We will discuss a few strange names like bullish engulfing pattern, piercing line, bullish counter attack, bullish harami, morning star, hammer and inverted hammer, three white soldiers and more. If you need some basic clarification you can look for my articles “Introduction to candlestick charts” and “Candlestick charts basic patterns”.
Before looking at the bottom reversal patterns we have to define the rules for a bottom reversal to be a valid pattern.
– A bottom reversal is only possible AFTER a downtrend. – Most of the patterns need a confirmation. – A confirmation must appear one up to three candles after the pattern. – This confirmation is a big white candle, high volume with the new up-move, a rising window, or breaking a resistance. – A reversal pattern during price reaction must be considered a continuation pattern. – For the best result, you must combine candlestick patterns with Western technical analysis.
An unconfirmed pattern has no further meaning.
When in a downtrend, there is a small black body, not a doji, followed and enclosed by a bigger white body; you have a bullish engulfing pattern. Though not necessary, it is better when the white body also encloses the short shadows of the black candle. An exceptional occurrence at the end of a downtrend is a white body followed by a bigger black body; this is called a last engulfing pattern.
A piercing line is a bigger black body that is followed by a white body with a lower opening price than the low of the black body in a downtrend; however, the white candle closes above the midpoint of the black body. A confirmation is required.
A bullish counterattack is a bigger black candle in a downtrend, followed by a bigger white candle. Closing prices of both candles are at the same price level. Confirmation is needed.
A bullish harami in a downtrend, a white, but preferably a black body followed by a small white or black candle that is best completely covered by the first candle body. A bottom reversal signal after confirmation. Black-white and black-black, called homing pigeon, combinations are the most common.
A bullish harami cross in a downtrend is a white but preferably a black body that is followed by a doji that is ideally completely covered by the first candle body. A bullish harami cross pattern needs confirmation.
A morning star is a bigger black body, followed by one or more small black or white bodies below the closing price of the first black body. The white candle that follows ideally lays 50% or more within the first black body and has a rising window with the previous candle body.
A morning doji star is a bigger black body, followed by one or more dojis with a falling window below the closing price of the first black body. The white candle that follows ideally lays 50% or more within the first black body and has a rising window with the previous doji body. This is a stronger reversal signal than a morning star.
A bullish abandoned baby pattern is a morning doji star with a window between the doji and the black and white candle, resulting in an island reversal. The island can have more candles and more than one doji.
A hammer is a small white or black body close to the high price. It has a long shadow below with a minimum size of twice the height of the body. There is a very small shadow or no shadow at the top. A dragonfly doji is a specific version of the hammer pattern. Confirmation is required. A white body is more positive.
An inverted hammer is a small black but preferably a small white body near the low price. It has a long shadow above that is, at minimum, twice the size of the body. It only has a very small shadow or no shadow below. A gravestone doji is a specific version of the inverted hammer. A bottom reversal only after confirmation.
Three white soldiers are three white candlesticks with each bar having higher closing prices, close to the high of the bar. Opening prices of candles two and three are within the body of the previous candles. Many times, there will be a small reaction before the new uptrend is resumed.
This concludes my overview of the most important candlestick bottom reversal patterns. In the following article we will have a look at candlestick continuation patterns and we will also talk about some candlestick trading techniques.
About the Author
Want to learn more about candle bottom reversal patterns? You can find technical analysis articles for free at my website: http://stocata.org/. Sylvain Vervoort is a trader and the author of a new book “Capturing Profit with Technical Analysis” and a regular contributor to Stocks & Commodities.
By Greg Holden – The ascendant Japanese yen has continued to pull the AUD/JPY pair higher, but we are beginning to see a long-term bearish formation building. Following the sharp drop from early May, the pair has continued to fluctuate within a steadily climbing, and consolidating range; known as a Pennant.
A Pennant formation occurs when a sharp movement is followed by a steady flattening out, in which the price of the pair tests ever-narrowing highs and lows. Connecting these highs and lows allows us to see a triangle attached to a long “flag pole” (see below).
Typically when a Pennant formation has finished consolidating at the tip – in the case of the AUD/JPY this would be near the 78.00 price mark – the previous direction, established by the flag pole, will continue.
Technical Analysis
– The chart below is the AUD/JPY daily chart provided by ForexYard.
– Point 1: Here we can see our Pennant triangle drawn. The sharp downward movement you see occurring before this triangle is our flag pole.
– Point 2: At the tip of the Pennant – the consolidation point – you can see the price target of 77.98. Not surprisingly, this also corresponds with a solid Fibonacci resistance line (at 38.2%).
– Point 3: The Relative Strength Index (RSI) currently floats in neutral territory but, in support of the expected consolidation point being reached, the indicator points upwards. We should expect to see this indicator enter the over-bought territory prior to its continuation of the downtrend.
– Point 4: The Stochastic (slow) shows us the same thing as the RSI, listed above. We should also expect to see a bearish cross just before this pair comes tumbling down.
– The expectation here is for a steady boost in value towards 78.00, but the technicals appear to imply that the pair will likely fail to breach this line, and wide sell-offs should complete the Pennant’s forecasted downward movements.
– On the upside, if the pair happens to break through the 78.00 price mark, an expected climb above 80.00 is to be expected.
– On the downside, the resistance, and possible sell-wave which will follow the downturn, could end up pushing this pair back towards 76.00 over the next few days.
AUD/JPY Daily Chart
Forex Market Analysis provided by ForexYard.
© 2006 by FxYard Ltd
Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.
By Finexo – Today saw the largest rally in over two weeks with US and European equities taking a sharp climb. Amid reports of negative sentiments in Germany, European indexed closed at highs, and after rising earlier in the session over 1.7%, US stocks closed up 1%. The boost in equity markets was in part due the rejected buyout of Potash Corp by BHP Billton for $38.6 billion. Following the news, shares of the largest producer of fertilizer rallied above BHP’s valuation bid. As stocks have been under pressure recently, today’s rallying may have been a relief rally.
Despite a report tomorrow that is expected to show a four week low in crude oil, the commodity rallied in tandem with 
Wall Street rising from $75 to $76.60, up 2%, and falling back to its current price of $75.60. Tomorrow’s report may show nervous sentiments among oil traders resulting from weak worldwide economic data.
Agricultural commodities remained stable today with wheat around $650, while corn and soybean were for the most part unchanged.
Gold held its position today at 1226.50 from $1227.5 yesterday. Its relative stability is a sign that traders are watching the market for new developments before taking more positions on gold.
The global economic forecast has become increasingly gloomy as US bond yields indicate very weak growth in the short- and medium-term. This suggests that we are entering a period which could have serious outcomes on the direction of equities. Reports of market sentiments and growth projections will take their toll on the health of stocks and commodities. If growth is weaker than the most pessimistic estimates, we could be in for an extremely weak period in the stock and commodities markets. On the other hand, if economic data takes a turn for the better, traders may dump the low yield bond trade and take their chances with riskier assets such as equities, commodities and higher yielding currencies. If either extreme should come to be, prepare for a highly volatile market.
Forex Market Review & Analysis by Finexo.com
Disclaimer: Trading the foreign exchange (Forex) carries a high level of risk, and may not be suitable for all investors.
By Russell Glaser – Spot crude oil prices received a bounce in today’s trading. This is the first gain for the commodity in almost 10 days. The rise in the price coincided with both positive fundamental data along with a technical boundary that the commodity ran into due to the recent sharp decline in the price of spot crude oil. Today’s rise in the price helped keep the recent bullish trend intact while setting up a buying opportunity.
The price of spot crude oil rose today to a high of $77 before falling back to close up at $76.20. The gain of 0.8% came after an opening day price of $75.57.
As of recent crude oil prices have been closely tracking the movements of the equity markets. The near term trend for the Dow Jones Industrial Average has turned lower but today the widely followed stock index finished the day higher by 1.60%.
Positive fundamental data helped move both equities and spot crude oil prices higher. New building permits for the U.S climbed 0.57M over the previous month. The reading was largely in line with economists’ expectations of 0.58M.
The sharp decline in the price of spot crude oil has made for a potential opportunity for traders to enter into the market long on the commodity. After falling $7, the drop in the value of the commodity failed to breach below the trend line that began on May 25th.
Technical indicators show the price may be in line for further gains. The bearish correction stalled during Friday’s trading that ended with a doji candlestick. This candlestick pattern signals indecision on the part of traders to send prices in any particular direction.
The bearish correction also failed to breach below the short term rising trend line, signaling the bullish uptrend is still valid and serves to reinforce the importance of this trend line.
A buy signal is also shown on the daily chart. The Slow Stochastic oscillator displays a bullish cross, indicating the next move of the price may be to the upside. The last time a bullish cross appeared on the stochastic, the price of spot crude oil rose to close above the significant resistance level of $80.
Resistance for spot crude oil trading is found at $78 (R1), followed by 79.90 (R2), and the August high at $83. Support comes in at the low of this week’s trading at $74.85 (S1), just below the rising trend line. Should the price close below this support level, it would signal a shift in the trend to the downside.
Forex Market Analysis provided by ForexYard.
© 2006 by FxYard Ltd
Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.
Source: ForexYard
The EUR rose against the US Dollar and came off 7-week lows against the Japanese Yen on Tuesday, helped by solid results of Irish and Spanish bond auctions which alleviated concerns about the heavily indebted Euro-Zone countries. The EUR rose 0.2% against the yen to 109.95 after an early fall as low as 109.10.
The dollar fell against the EUR on Tuesday, as prospects of more weak economic data from the United States added to worries about a global slowdown and capped gains in stock markets. European shares followed most Asian stock markets slightly higher, although analysts said gains could prove to be fleeting given weak sentiment.
The major economic event that came out of the U.S yesterday was the Building Permits data release. Building permits, a leading indicator of housing construction, fell 3.1% to a seasonally adjusted annual rate of 565,000. This is the lowest level of permits since May 2009, underscoring the hazards to an economic recovery even as businesses appeared to be stepping up investment.
Another leading indicator released yesterday was U.S. Producer Price Index. This number handedly beat last month result but failed to provide strength to the Dollar as investors may be waiting for key data due to be released later this week to implement their trading strategies.
As for today, the calendar is lacking any major economic data releases for today’s trading. As such, traders will want to follow the movements of the major equity indices as the dollar has recently been trading in an inverse relationship to equities. Strength in stocks could propel the EUR/USD to its next resistance line which rests at 1.3000.
The EUR rose against most of its major currency counterparts on Tuesday as solid results of Irish and Spanish bond auctions alleviated concerns about the heavily indebted Euro-Zone countries. By yesterday’s close, the EUR rose against the USD, pushing the oft-traded currency pair to 1.2890, and rebounded from a seven-week low against the yen and closed at around 109.95.
But the EUR struggled to hold above $1.29 on uneasiness about the economic outlook, with a key German survey sparking concerns about whether Europe’s largest economy can sustain a solid recovery. The German ZEW institute’s measure of investor and analyst sentiment dropped well below forecasts, though this was partly offset by an unexpectedly sharp jump in the current conditions index.
The single currency, which slid below $1.19 in June on Euro-Zone debt trouble, has since risen by more than 8% after smooth government debt auctions in Greece, Portugal, Spain and Ireland eased concerns.
The Yen completed yesterday’s trading session with mixed results versus the other major currencies. The JPY was broadly unchanged versus the CHF yesterday and closed its trading session at around the 81.95. The yen did see bullishness as well as it gained over 50 pips against the GBP and closed at 133.30.
Some of the pressure came against the yen, as talk intensified that the Japanese government might put pressure on the Bank of Japan to loosen monetary stance even further in an effort to stop the yen from rising any more. The yen rose to a 15-year high this month against the U.S. currency, threatening to damage exports and derail Japan’s fragile economic recovery, with GDP growth slowing to a crawl at 0.1% in the April-June period.
Oil snapped a five-day losing streak to rebound above $76 a barrel on Tuesday as firmer equity markets and a weaker dollar outweighed concerns about the pace of global economic recovery.
Oil and other commodities denominated in dollars for global trading tend to rise when the U.S. currency falls as they become cheaper for holders of other currencies. A move away from dollar-based pricing of the world’s leading commodity could further weaken the greenback.
As for today, traders should pay attention to the U.S Crude Oil Inventories report scheduled, as it tends to have a large impact on Crude Oil’s prices recently, especially for the short-term.
After yesterday’s rally the pair seems to have settled in to a range and is comfortably trading around the $1.2850 level. It seems, however, that there is some room for an upward trend today as a breach of the lower Bollinger Band is apparent on the hourly chart and with the RSI for the pair floating near the oversold territory on the daily chart. Going long with tight stops may be advised for today.
The pair may be seeing some upward correction today as the RSI for the pair is floating in the oversold territory on the 2 hour and daily charts and a bullish cross is evident on the 4 hour and daily charts’ Slow Stochastic. Furthermore, the MACD for the pair is at the lower border on the hourly and 8 hour charts. Going long for today may be advised.
The pair seems to be range trading between 85.20 and 85.60 with most indicators floating in neutral territory. Traders may be advised to wait on a clearer signal for the pair for today.
The pair is currently range trading with most indicators floating in neutral territory while others show some mixed signals. A bearish cross is evident on the 4 hour chart’s Slow Stochastic while the RSI for the pair is floating near the oversold territory on the 4 hour and 8 hour charts. Waiting on a clearer direction for the pair may be advised for today.
The RSI for the pair is floating in the oversold territory on the 2 hour and 8 hour charts while a bullish cross is evident on the 4 hour chart’s Slow Stochastic. Furthermore, a breach of the lower Bollinger Band is evident on the 8 hour chart. Forex traders may be advised to go long for the day.
Forex Market Analysis provided by ForexYard.
© 2006 by FxYard Ltd
Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.
By eToro – The Euro moved higher as stronger than expected US data pushed riskier assets higher. A positive outlook from Moody’s should also give list to the Euro and create some momentum for higher levels.
Click here to read the full review
Forex Market Analysis provided by eToro
Disclaimer: Trading in the Foreign Exchange market might carry potential rewards, but also potential risks. You must be aware of the risks and are willing to accept them in order to trade in the foreign exchange market. Don’t trade with money you can’t afford to lose.
