Daily Technical Forex Forecast 01.11.2018


EUR/USD

The Euro adjusted upwards after the formation of the new support level 1.1304. The growth was smooth and on the small volume, and considering the presence of a strong local downtrend, we still should give advantage to short positions.

Sales can be opened after a stoppage of the price correction, the resumption of a sharp drop and a confident breakdown of the support level. The fall should be supported by the large volume, which will insure us against false breakdown and will be a more accurate signal to enter the market. A stop loss should be placed slightly above the breakout volume bar. The potential of the deal is more than 100 points.

GBP/USD

The same situation with the Pound as the price corrected up after the formation of the new level of support 1.2752 yesterday. The move was sharp, but on the small volume. Moreover, there is a strong downtrend with this pair, so we still should give preference to a scenario of opening short positions.

We can open short positions after the resumption of the sink and the sharp breakdown of the new support level. The fall must be supported by the large volume, which will be a more accurate signal for entering the market. A stop loss should be located above the breakdown bar. A potential of the deal is more than 120 points.

USD/JPY

The Yen showed a keen drop after the creation of the new resistance level 113.28. This movement was on the small volume, so we shouldn’t consider sales at the moment. Furthermore, given a recent exit of the pair from the consolidation up, we should prefer a scenario of opening long positions. Sales can be opened after the resumption of the growth and the breakout of the new resistance level. The breakout movement must be supported by the large volume, which will be a more accurate signal. A stop loss should be placed below the breakout bar. A potential of the deal is around 120 points.

If the price goes on falling, we’d better stay out of the market.

USD/CAD

The Canadian dollar broke out the previous resistance level, which is a good bullish signal. However, the price failed to carry on rising and adjusted down, but the fall was smooth and on the small volume. We should also point out the new support level 1.3109. Thus, we should give preference to purchases. Long positions can be opened after the end of the sink and a resumption of the sharp growth. A stop loss should be placed below the new support level. A potential of the deal is more than 100 points.

AUD/USD

The Australian dollar grew up strongly, but the upward movement was on the small volume, so we can’t highlight any new volume level or zone. Nevertheless, the price is still locked within the local consolidation between the support level 0.7026 and the resistance level 0.7150. Therefore, we can regard new trading scenarios with this pair only after the confident and sharp exit of the price from the range. The breakout move must be supported by the large volume, which will insure us against a fake breakout.

Until that, while the price is trading within this consolidation, we should stay out of the market.

XAU/USD

Gold also showed an abrupt surge after the creation of the new level of support 1212.50, but the growth was smooth and on the small volume, so we can’t consider long positions at the moment. Moreover, given the recent exit of the price from the range down, we should prefer a scenario of opening short positions.

Short positions can be opened after the resumption of the keen drop and the confident breakdown of the support level. This movement should be supported by the large volume, which will insure us against a fake breakdown. A stop loss should be placed above the breakdown volume bar. A potential of the deal is more than 150 points. If the price continues falling, we’d better stay out of the market.

The sentiment: this indicator totally affirms all of our trading scenarios today, which is a good additional signal. As with the Australian dollar, we must wait for a sure exit of the pair from the local range and only after that we can regard new positions.