Euro smoothly adjusted upwards and is now trading slightly below the volume resistance level 1.1443 – 1.1467. It is worth noting that the growth was on the small volume. Moreover, given the sharp drop of the price on the very large volume on Friday, we still need to give preference to a scenario of opening short positions with this currency pair.
Sales can be opened after the stoppage of the upward correction of the price and the resumption of a sharp and confident fall. A stop loss should be placed a little above the resistance level. The potential of the deal is more than 100 points.
The Pound carries on trading in the small local range at the level of support 1.2738. Given the presence of a strong downtrend with this instrument, we should consider a scenario of a breakdown of this mark, which will be a great bearish signal and will allow us to open short positions.
The move should be abrupt and supported by the large volume, which will insure us against a fake breakdown and will be a more precise and secure signal for entering the market. A stop loss must be placed just above the breakdown volume bar. The potential of the deal is more than 120 points.
The Yen showed a sharp drop and broke down the previous support level, but the pair failed to go on falling and rapidly corrected up. Now the price is located inside the local consolidation between the new support level 110.17 and the resistance level 111.94. Therefore, we can regard new positions only after a sure and abrupt exit of the pair from this range. The move must be supported by the large volume, which will insure us against a fake breakdown.
The Canadian dollar adjusted down yesterday, but the drop was smooth and on the small volume. Besides it, given the presence of the strong support level 1.3071, we still should give advantage to purchases. We can open long positoins only after the stoppage of the correction and a resumption of the rise. A stop loss should be located beneath the support level. The potential of the deal is more than 100 points.
The Australian dollar went on sinking, but the downward move was smooth and on the small volume, so we can’t point out any new level or zone. However, given the recent abrupt fall on the large volume, we still should give advantage to sales. We can enter the market after a small adjustment of the price up, to get a more profitable entry point. A stop loss should be located overhead the beginning of a sharp drop. The potential of the deal is more than 100 points.
Gold demonstrated a keen fall and broke down the previous support level/the lower boundary of the local consolidation, which is a great bearish signal. Besides it, the breakdown move was supported by the large volume, which only strengthens its importance. We also should point out the new volume resistance level 1200.50 – 1202.10.
Considering all of the above factors, we should regard exceptionally short positions with gold. We can enter the market after a slight correction of the price up and the resumption of the drop, in order to get a better entry point. A stop loss should be located a little above the resistance level. The potential of the deal is more than 150 points.
The sentiment: this indicator totally affirms all our positions, which is an excellent additional signal for us. The situation is 50/50 with USD/JPY, so we must wait for a strong confirmation signal and only after that it is possible to open new positions.