Daily Technical Forex Forecast 04.06.2019


EUR/USD

The Euro showed a significant and sharp rise of the price on the large volume, which is an excellent bullish signal. Moreover, the pair broke out the previous resistance level, which opens the way further upwards. Considering all these factors, we should consider extremely long positions with this currency pair.

Purchases can be opened after a small and smooth price correction, in order down to get a better entry point. A stop loss should be placed slightly below the breakdown volume bar. The potential of the deal is more than 100 points.

GBP/USD

The price continued correcting upwards and now is located in the middle of the local consolidation between 2 strong volume levels. They are the support 1.2568 and the resistance 1.2796. Besides it, the large volume is concentrated inside this consolidation.

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

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

USD/JPY

The Yen went on falling, moreover, the drop was supported by the large volume, which is a great bearish signal. We should also point out the new volume level of resistance 108.44. Considering all these factors, we should give advantage to short positions. We can enter the market after a slight upward correction, in order to get a more profitable entry point. A stop loss should be placed above the level of resistance. A potential of the deal is more than 100 points.

USD/CAD

The Canadian dollar carried on correcting downwards, but is still located within the local consolidation between 2 strong volume levels. The first one is the support 1.3382, the second one is the resistance 1.3539. Hence, we can open new positions only after the sharp and confident exit of the price from it. The breakout movement must be supported by the large volume, which will insure us against a fake breakout.

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

AUD/USD

The Australian dollar rose up and broke out the previous resistance level, which is great bullish signal. Besides it, we need to point out the new level of support 0.6927, which contains the large volume. Given all these factors, we should reckon exceptionally long positions. We can enter the market after a smooth downward correction, in order to get a better entry point. A stop loss should be placed below the support level. A potential of the deal is around 90 points.

XAU/USD

The price showed a sharp growth supported by the large volume, which is a good bullish signal. Besides it, we need to point out the new volume level of support, it’s 1317.30. Considering all these factors, we should give preference to short 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 new support. A potential of the deal is more than 150 points.

The sentiment: this technical indicator totally confirms our scenarios with EUR/USD, USD/JPY and XAU/USD, which is a great additional signal. As with AUD/USD, the situation is opposite, hence, we should be more careful. As with EUR/USD and USD/CAD, we can open new deals only after the exit of the price from the range.