Daily Technical Forex Forecast 21.03.2019


EUR/USD

The Euro demonstrated an abrupt growth supported by the large volume and broke out the previous level of resistance, which is a great bullish signal. But the further growth was stopped by the formation of the new level of resistance 1.1442. This level contains the large volume. Nevertheless, we still should prefer a scenario of opening long positions, but only after the confident and sharp breakout of this mark.

The breakout movement must be supported by the large volume, in order to 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 100 pips.

GBP/USD

The Pound broke down the previous level of support, but then sharply corrected upwards. Besides it, we need to point out the new level of support 1.3150. As you can see from the chart, the price is currently trading in the local range between this mark and the resistance 1.3335.

Therefore, we can consider new positions only after the sharp exit of the price from the range. The breakout movement must be keen and supported by the large volume, which will be a more accurate signal for entering the market.

While the price is trading inside this range, we’d better stay out of the market.

USD/JPY

The Yen showed a sharp fall supported by the large volume and now is trading near the level of support/lower boundary of the local range 110.26. Therefore, we can and should regard a scenario of its breakdown, which will allow us to open short positions. The drop of the price must be keen, confident and supported by the large volume. A stop loss should be located above the breakdown volume bar. A potential of the deal is the level 108.70.

USD/CAD

The Canadian dollar resumed falling and now is trading near the level of support/lower limit of the local consolidation 1.3248. Hence, we can regard a scenario of its breakdown, which will allow us to open short positions. The drop of the price must be abrupt, sure and supported by the large volume, which will be a more reliable signal for entering the market. A stop loss should be placed above the breakdown volume bar. A potential of the deal is around 120 points.

Until that, we’d better stay out of the market.

AUD/USD

The Australian dollar indicated a sharp and confident rise on the large volume and broke out the previous level of resistance, which is a great bullish signal. However, the further move was stopped by the new volume level 0.7165. Thus, we can open long positions only after the confident and keen breakout of this mark. The movement must be supported by the large volume, which will insure us against a fake breakout. A stop loss should be placed below the breakout volume bar. A potential of the deal is more than 80 pips.

XAU/USD

The price demonstrated an abrupt growth on the large volume and broke out the previous level of resistance, which is a great bullish signal. Besides it, we need to point out the new support 1312.10. Hence, we should prefer a scenario of opening long positions.

We can enter the market after a smooth downward correction, in order to get a more profitable entry point. A stop loss should be placed below the level of support with a little margin. A potential of the deal is more than 150 pips.

The sentiment: this technical indicator totally confirms all our trading scenarios today, which is a great additional signal (trading against the “crowd”). As with the Pound, we can open new positions only after the confident and sharp exit of the price from the range.

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