Daily Technical Forex Forecast 16.11.2018


EUR/USD

The Euro tested the level of support 1.1267, but failed to break it down and adjusted upwards. The pair is currently located inside the local range between this mark and the previous level of resistance 1.1425.

Hence, we can ponder new positions only after the confident and keen exit of the price from the local consolidation. Moreover, the breakout move should be supported by the large volume, which will be a more reliable and accurate signal for entering the market.

GBP/USD

Yesterday, the Pound showed a significant and rapid decline and broke down the previous support level. Moreover, the breakout movement was supported by the large volume, which is an excellent bearish signal. Thus, we should give preference to short positions.

Sales can be opened after the resumption of the decline and confident breakdown of the new support level/local minimum 1.2742. The downward movement should be abrupt and supported by the large volume that will insure us against a false breakdown. A stop loss should be placed slightly above the breakdown volume bar. The potential of the deal is more than 120 points.

USD/JPY

The Yen broke down the previous level of support, but after the creation of the new volume level 113.10, it adjusted up. However, the price has already resumed sinking and is located near this mark now. Thus, we can regard a scenario of its breakdown, which will consent us to open short positions. The drop must be abrupt and 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 around 80 points.

USD/CAD

The Canadian dollar went on correcting down and is currently trading inside the local range between the level of support 1.3055 and the level of resistance 1.3258. Therefore, the best decision with this pair is just to wait for the confident exit of the price from this local consolidation and only after that we can consider new positions. The breakout move must be sharp and supported by the large volume, which will insure us against a fake breakout and will be a more accurate signal for entering the market.

AUD/USD

The Australian dollar tested the resistance level, but failed to break it out and is trading nigh this mark at the moment, so we can regard a scenario of its breakout. It will be a great bullish signal. The growth should be sharp and supported by the large volume, which will insure us against a false breakout. A stop loss should be placed below the breakout volume bar. A potential of the deal is more than 80 points.

XAU/USD

Gold continued rising and broke out the previous resistance level. The upward movement was on the increased volume, which is a good bullish signal. We also should allocate the new level of support 1210.00. Given these factors, we should prefere a scenario of opening long positions.

Purchases can be opened after a smooth downward adjustment of the price, in order to get a more profitable entry point. A stop loss should be placed below the level of support. A potential of the deal is around 130 points.

The sentiment: this indicator fully confirms our scenarios with the Pound and Australian dollar. The opposite situation with the Yen and gold, so we must be more careful. As with other pairs, we should wait for the exit of prices from local ranges and only then we can consider new positions.