Daily Technical Forex Forecast 22.06.2017


EUR/USD

The euro failed to continue falling and returned back in the consolidation. The growth of the price was quite fast, but the move was on small volume, so we can’t consider it as a reversal or bullish signal. Also we are unable to highlight any new volume level or zone except the global resistance 1.1268 – 1.1279.

So unfortunately, there is no a good moment for trading the euro and it’s better to stay out of the market now.

volume euro

GBP/USD

The pound showed a strong growth due to the fundamental factors and now is returned trading back in the consolidation. The upward move was supported by large volume, but it was concentrated at the top of the bar. Now it is the resistance level 1.2680 – 1.2698.

volume gbp

This level is a cornerstone in trading the pound, because we can trade it in both directions.

  1. If the price breaks it out on large volume, we consider it as a continuation of the growth and open long positions with a stop loss set below the breakout volume bar. The target is 1.2800.
  2. If the price rebounds down from it and starts sharp falling, we should open short positions. A stop loss should be placed above 1.2710. The target is 1.2500.

trade gbp

USD/JPY

After the continuation of the uptrend on increased volume, the yen showed a downward correction on small volume, so overall the price is trading in the local consolidation. Unfortunately, due to small trading volumes, it is impossible to highlight any volume levels or zones.

Anyway, given the strong uptrend, we should consider opening long positions after the resumption of the growth on really large volume. A stop loss should be placed below the level 110.70. The target is 112.00.

buy jpy

USD/CAD

USD/CAD got a support and grew up as the oil price fell down sharply. Now the pair shows a confident and smooth growth. on increased volume. Unfortunately, volume is spread throughout the chart, so we are unable to point out any fresh levels or zones.

Anyway, given all factors, we should search for an entry point for long positions.

If the price breaks out the local maximum 1.3345 (which was a previous resistance) on increased volume and continue growing, we can enter the market. A stop loss should be placed below the breakout volume bar. The target is 1.3512.

buy cad

AUD/USD

The Australian dollar continues falling down, but the price is going down without volume, so new levels are impossible to point out.

Anyway, we have a local downtrend and we can highlight the level 0.7523 which was the previous support. It’s breakout will be a good signal for opening short positions. A stop loss should be placed above the breakout bar. The first target is 0.7460, the second one – 0.7391.

sell aud

XAU/USD

After trading in the small consolidation at the bottom of the chart, gold corrected up to a volume zone 1251.90 – 1256.00. Very large volume is concentrated in this range, that serves as a resistance.
Also it is worth noting that the price growth was on small volume, so we can’t consider this movement as a reversal. Therefore, a downward trend for gold is still relevant.

volume gold

Thus, the zone 1251.90 – 1256.00 is the cornerstone in the gold trade. Given the downtrend and growth without volume, the price rebound from this level to the increased volume will be an excellent signal for opening short positions. Stop loss should be placed just above the level of 1256.00. The first goal is a local minimum, the second target is 1233.00.

sell gold

If the price breaks the zone, then the sales scenario is canceled. In case of a sharp breakdown and on very large volume, we can consider the scenario of intraday long positions.

The sentiment: this indicator is almost useless today as it is 50/50 for all pairs (except EUR/USD).

sentiment

The bottom line: the situation on the market is pretty complicated today, so I advise to be very careful and wait for confirming signals before entering the market.