The USDJPY is in a bearish trend since the beginning of 2017 as suggested by the trend channel. The price has recently respected a long term 61% retracement at the same time as respecting the bottom lower channel of this trend at point A.
The RSI is also oversold. These indications suggest cutting long term short positions, but not necessarily going long as the...
We can see that price is currently in an uptrend, heading to 1.0980: a key level, 0.618 of the latest weekly swing down, and completion point for an AB=CD pattern. Looking for a daily candle signal at this zone to enter any shorts, riding the wave up until then.
Dollar index on the daily chart is showing that it is oversold on the RSI so i am expecting to see a pullback from the recent sell off, we may be looking to reach the hourly swing low fib of 0.382 target 101.13
Ok there seems to be a lot happening to back up a short.
Previous support acting as resistance pushing down on price
This setup has occurred several times in the past and every time it falls around 15% this would take us to the major trend line and 78.6% fibs.
All in all this is looking like a good setup, wait for...
PRICE HAS BEEN CLIMBING FOR A WEEK ALONG A RELATIVELY STEEP UPWARD TEND LINE, IT HAS NOW REACHED RESISTANCE IN THE FORM OF THE 38.2 FIB LEVEL FROM THE HIGH OF THE 15TH OF JAN 17 AND THE LOW OF THE 22ND FEB 17. RSI IS ALSO AROUND THE OVERSOLD POINT.
WILL BE WAITING FOR A CONVINCING MOVE EITHER ABOVE THE FIB LEVEL OR BELOW THE TREND LINE FOR A TRADE ENTRY.
This is a great opportunity to short gold, any indication of multiple confluence is always good and in this case we have many. For example, price will hit the 0.618 fib retracement zone and at the same time re-hit the trend-line it broke and hit the 20ema.
This is just an opinion of mine, in the past i've found that finding multiple confluence aids one when...
AUD/USD did not play out how we predicted last week! Trump's press conference gave USD a chance to correct and give this pair a push higher to break support and this descending trendline. AUD/USD is currently sitting at key weekly support which price reacted off nicely recently. We will be looking for a pullback to the 50 fib/next support at 0.7350 to form a right...