Daily Technical Forex Forecast 05.04.2019


EUR/USD

The Euro is located inside the local range between 2 strong volume levels. They are the support 1.1187 and the resistance 1.1248. Besides it, we need to point out that the large volume is concentrated within this consolidation.

Thus, the best solution with this instrument is just to wait for the sharp and confident exit of the price from the range and only after that we can open new positions. Moreover, the movement must be supported by the large volume, which will be a more accurate signal for entering the market.

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

GBP/USD

The Pound is still trading inside the local consolidation, where the large volume is concentrated. The boundaries of the range are the level of support 1.2985 – 1.2998 and the level of resistance 1.3335.

Given all these factors, we can open new positions only after the sharp and keen exit of the price from the local range. The breakout movement must be supported by the large volume, which will be a more accurate and reliable signal for entering the market.

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

USD/JPY

The Yen continued its sharp and rapid growth and is now trading near the resistance/upper limit of the local range 112.00. Given that the upward movement was on the increased volume, we can consider a scenario of its breakout, which will allow to open long positions with this instrument. The breakout movement must be confident and on the large volume, which will be a more accurate and reliable signal to enter the market. A stop loss should be placed slightly below the breakout volume bar. The potential of the deal is more than 100 points.

USD/CAD

The Canadian dollar is locked in the middle of the local consolidation between the level of support 1.3248 and the level of resistance 1.3463. Thus, our previous scenario remains actual: we can open new positions only after the confident and sharp exit of the price from the range. Furthermore, the movement must be supported by the large volume, which will be a more secure signal for entering the market.

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

AUD/USD

Nothing has changed with the Australian dollar as the price is still trading inside the local consolidation between 2 strong volume levels. They are the support 0.7008 and the resistance 0.7165. Hence, we can reckon new positions only after the sharp and confident exit of the price from the range. Moreover, the move must be supported by the large volume, which will be a more secure signal for entering the market.

While the price is locked inside the range, we should stay out of the market.

XAU/USD

The price tested the level of support 1282.00, but failed to break it down and then corrected upwards. Now the price is trading inside the local range between this level and the previous level of resistance 1299.50.

Therefore, we can open new positions only after the sharp and sure exit of the price from the consolidation. Moreover, the movement must be supported by the large volume, which will be a more accurate signal for entering the market.

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

The sentiment: this technical indicator confirms our scenario of opening long positions with the Yen, which is a good additional signal (trading against the “crowd”). As with all other instruments, we can open new positions only after the confident and sharp exit of prices from local ranges.