Daily Technical Forex Forecast 19.10.2018


EUR/USD

The Euro went on falling, besides it, the move was on the large volume. It is also necessary to point out a new volume resistance level 1.1498. Considering all these factors, we should give advantage to short positions.

We can enter the market after a small and smooth price correction upwards in order to obtain a more profitable entry point. A stop loss should be placed slightly above the resistance level. The potential of the deal is more than 100 points.

GBP/USD

Yesterday, the Pound showed a significant and rapid decline. As a result, the pair broke down the previous support level, which is an excellent bearish signal. In addition, it is worth highlighting the new resistance level 1.3086, in which the increased volume is concentrated. Considering all these factors, we should give preference to short positions.

Sales can be opened after a small and smooth upward price correction to get a better entry point to the market. A stop loss should be placed slightly above the new resistance level. The potential of the deal is about 110 points.

USD/JPY

The Yen is still located inside the local consolidation between the support level 111.74 and the resistance level 112.76 – 112.89. Hence, our previous scenario remains actual: we can open new positions only after a keen exit of the price from the range. The breakout movement should be supported by the large volume, which will be a more accurate signal to enter the market.

USD/CAD

The Canadian dollar grew up strongly yesterday, but the rise was stopped by the new volume resistance level 1.3085. Considering this move and the fact that the price is trading near this mark, we can regard a scenario of its breakout, which will be an excellent bullish signal. The movement must be confident and on the large volume. A stop loss should be placed under the breakout volume bar. The potential of the deal is about 110 points.

AUD/USD

The Australian dollar carries on trading inside the local consolidation between 2 strong volume levels. They are the support 0.7058 and the resistance 0.7200. Considering this factor, we can regard new trading scenarios only after a sure and sharp exit of the price from the range. The breakout movement must be supported by the large volume that will insure against false breakout.

XAU/USD

Gold resumed growing and is trading near the resistance level/local maximum 1231.50. Therefore, our previous scenario remains actual: we can open long positions after a confident breakout of this mark.

The breakout movement should be keen and on the large volume, which will be a more precise and secure signal to enter the market. A stop loss should be placed under the breakout volume bar. The potential of the deal is more than 150 points.

The sentiment: the mood of the market totally affirms all of our trading scenarios, which is a good additional signal. The gold situation is 50/50, so we should wait for the confirmation signal to appear. With all other currency pairs, we are waiting for prices to go out of ranges and only after that can we consider new deals.

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