Daily Technical Forex Forecast 17.01.2018

EUR/USD

After a small and smooth correction down, the Euro resumed its growth, so it is worth noting that the local uptrend on this instrument is going on. It is also necessary to allocate a new level of support 1.2208, in which increased volume is concentrated + after the formation of this mark, the price began to grow again.

Given all of the above factors, we should give preference to long positions with this currency pair. We can enter the market after a small and smooth correction of the price down to get a more profitable entry point. A stop loss should be placed just below the level 1.2208. The potential of the deal is more than 100 points.

GBP/USD

The Pound also corrected down and then resumed its growth. We should note the presence of the strong uptrend with this currency pair + the support level 1.3662 – 1.3690. This level contains large volume, so until its breakdown we should give advantage to long positions with the Pound.

We can enter the market after a resumption of sharp fall. Perfectly, if the price corrects down a little bit and after that resumes its growth. A stop loss should be placed below the yesterday’s minimum. A potential of the deal is more than 100 pips.

USD/JPY

The downtrend with the Yen continues, but unfortunately volume was evenly spread throughout the chart, so it is impossible to point out any new specific volume levels. That’s why we can enter the market and open short positions after the resumption of the fall and the confident breakdown of the local minimum. A stop loss should be placed above the breakdown bar. A potential of the deal is around 120 pips.

USD/CAD

The Canadian dollar is still trading a little bit above the support level/lower boundary of the local consolidation 1.2366 – 1.2390, so our previous scenario of opening short positions is actual. We can enter the market after a sharp and sure breakdown of the support on increased volume, which will be a more secure signal for opening new positions. A stop loss should be placed above the breakdown volume bar. A potential of the deal is around 120 pips.

AUD/USD

We should point out the new support level 0.7942 with the Australian dollar. This level contains increased volume and stopped the fall of the price. Now the pair is correcting down, so we can enter the market and open long positions (strong uptrend + the strong support) after the resumption of the growth. A stop loss should be placed below the fresh support. A potential of the deal is around 50-60 pips.

XAU/USD

Gold also showed a significant correction which was stopped by the new support level 1332.50, that contains large volume. At the moment the price is correcting once again, but we should point out that the move is on small volume, so even despite its sharpness, we should consider it as a reversal signal. So that we still must give preference to long positions.

We can enter the market after a stoppage of the fall and a resumption of the abrupt growth. A stop loss should be placed below the fresh level of support. A potential of the deal is more than 120 pips.

The sentiment: as yesterday, today this indicator totally confirms all our trade scenarios, which is a great additional signal for active trading.

The bottom line: the situation on the market has not changed a lot, so all our previous scenarios remains relevant.

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