After the release of disappointing macroeconomic data in the USA, the pair EUR/USD showed a false bullish momentum followed by a sharp fall of the price. It is worth highlighting a new resistance level 1.0915 – 1.0929, in which fairly large volume is concentrated, which pushed the price down. It should also be noted that the price fall was accompanied by large bid deltas, so we can conclude that sellers is dominating the market now.
Given these factors, it is worth giving preference to short positions. Of course, the trend is upward, but the euro sale is more as an intraday scenario + it is necessary to wait for an additional signal.
Short positions can be opened after a price correction to the resistance level followed by a strong bearish impulse. This will serve as an excellent signal that sellers are still putting pressure on the price. A stop loss should be set above the level 1.0915 – 1.0929. The target is 1.0780.
The pound has broken out the upper boundary of the consolidation and fixed above it. Unfortunately, this move was smooth and on medium volume, so there is no a good place for a stop loss now.
The support level 1.2745 – 1.2773 remains actual as an indicator of the power of buyers – until the price breaks it down, we need to consider only long positions.
We can open long positions after an appearance of large volume or strong bullish impulse that will give us a good place for a stop loss. We should set it below the beginning of the abrupt growth or a new volumetric support level. The target is 1.3000.
The yen is in the local consolidation a bit above the level of support 110.64 – 110.75. Also we need to highlight 2 strong bearish momentums which did not let the price to go up further. Despite the strong uptrend it’s dangerous to buy the yen after such moves.
Overall, the situation is pretty difficult, so I advise you to stay out of the market until the price breaks out the local maximum on large volume.
USD/CAD has broken out the previous level of resistance and fixed above it. The move was on pretty large volume that strengthen this signal. Also we need to highlight the new level of support 1.3576 – 1.3598, from which the price started its sharp growth.
We can enter the market after the resuming of the uptrend, especially if it is on large volume. A stop loss should be placed below the level of support. A potential of the deal is around 120 pips.
It is necessary to point out the new support level 0.7441 – 0.7450 where fairly large volume is accumulated that stopped the fall of the price. Also we need to note that this level was created in the pin bar.
But we still have a strong downtrend, so we can consider opening short positions after the breakdown of the support on increased volume. A stop loss should be placed above the breakout volumetric bar. A potential of the fall is difficult to predict, because there are no levels or zones that can stop the price. The minimum potential is around 60-70 pips, but I expect the move for approximately 100 pips.
Gold continues trading in the consolidation below the resistance level 1266.20 – 1269.00. Also we need to notice the presence of the volumetric accumulation near the local minimum, that support the price.
So that until it is broken down, we should stay out of the market. Short positions can be opened after the strong breakdown move on increased volume. A stop loss should be set above the breakout volumetric bar. A potential of the deal is around 140-150 pips.
The sentiment: the situation for the euro is a little bit complicated, but anyway I believe we can search for opening short positions intraday in the case of the confirming signal. For gold we are waiting for the breakout of the minimum. All other deals are confirmed.
The bottom line: the pound and Canadian dollar have the best situations for trading now.