Daily Technical Forex Forecast 06.04.2018


EUR/USD

The Euro dropped and broke down the previous support level/lower limit of the range, but further price fall was stopped by the increased volume. Also we should note the new support level of 1.2227. Given that the dip was on the increased volume, while the growth – on the small, it is worth considering the scenario of a breakdown of this level.

volume euro

The breakout movement must be sharp and supported by the large volume, which will be a more accurate signal for entering the market. A stop loss should be placed just above the breakdown volume bar. The potential of the deal is 60-70 points.

sell euro

GBP/USD

The Pound showed a sharp decline on the increased volume and broke down the support/lower limit of the consolidation, which is an excellent bearish signal. It is also necessary to allocate a new level of support of 1.3983, in which the increased volume, which stopped the fall, is concentrated. Nevertheless, now the price is trading slightly above this mark, so we can consider the scenario of its breakdown.

volume gbp tfxi
The breakout movement must be sharp and on the large volume, which will be a more accurate and reliable signal for opening sales. A stop loss should be placed just above the breakdown volume bar. The potential of the deal is 90 points.

sell gbp tfxi

USD/JPY

The Yen showed a confident rise and broke out the resistance level, but after the formation of the new volume resistance level of 107.48, the price corrected downward. Given that the drop was on the small volume, so we should give preference to long positions.

Purchases can be opened after the resumption of the growth and the breakout of the new level of resistance. The breakdown movement should be on the large volume, which will be a more reliable signal for entering the market. A stop loss should be placed under the breakout volume bar. The potential of the deal is more than 100 points.

buy jpy

USD/CAD

The Canadian dollar corrected upwards yesterday, after which the price continued its decrease. The drop was sharp and on the increased volume, which is a good bearish signal. Thus, we should prefer short positions with the Canadian dollar. Sales can be opened after a small correction of the price up, to get a more advantageous entry point. A stop loss should be located a little above yesterday’s high. The potential of the deal is more than 100 points.

sell cad

AUD/USD

The situation here has not change as the price is in the local consolidation of 0.7650 – 0.7775, so our previous scenario remains actual: new positions can be opened after a sure breakout of one of the consolidation boundaries. The breakout movement must be sharp and supported by the large volume, which will be a stronger signal for entering the market.

While the pair is trading within the consolidation, it’s better to stay out of the market.

trade aud

XAU/USD

XAU/USD tested the support level of 1323.10 – 1324.40, after which it jumped up and is now trading inside the local consolidation between 2 strong levels: the support and the resistance of 1355.70.

volume gold

Thus, we need to wait for a confident and sharp breakdown of one of the levels on the large volume, which will be a more accurate and stronger signal for entering the market. While the pair is within the range, it is better to stay out of the market.

trade gold

The sentiment: the mood of the market affirms our scenarios with USD/JPY and USD/CAD, which is a good additional signal. With all other instruments the situation is a bit complicated, so we need to wait for the appearance of new confirming signal.

sentiment