Daily Technical Forex Report 16.07.2019


EUR/USD

The Euro corrected downwards yesterday and now is trading inside the local consolidation between the support 1.1237 and the resistance 1.1280. Given that the large volume is concentrated inside this range, we can open new positions only after the sharp exit of the price from it.

Moreover, 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 located inside this range, we’d better stay out of the market.

GBP/USD

The price demonstrated an abrupt drop and now is testing the level of support 1.2491. If the price breaks down this mark, it will be a great signal of the continuation of the global downtrend and will allow us to open short positions.

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 placed above the breakdown volume bar. A potential of the deal is more than 100 points.

USD/JPY

The price is still located within the local range between 2 strong volume levels. They are the support 107.60 and the resistance 108.96. Therefore, we can open new positions only after the confident exit of the price from it. Moreover, the breakout movement must be abrupt, confident and supported by the large volume, which will be a more secure signal for entering the market.

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

USD/CAD

The Canadian dollar sharply corrected upwards and is trading in the middle of the local consolidation between 2 strong levels. They are the support 1.3023 and the resistance 1.3084. Hence, we can open new positions only after the confident and abrupt exit of the price from the consolidation. The move 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.

AUD/USD

The Australian dollar showed significant and sharp growth. At the moment, the price is testing the resistance level/local maximum 0.7036. Thus, we can consider a scenario of the breakout of this mark, which will allow us to open long positions with this currency pair. The breakout movement should be confident, rapid and supported by the large volume, which will be a more accurate and strong signal to enter the market. A stop loss should be placed slightly below the breakdown volume bar. A potential of the deal is more than 80 points.

XAU/USD

The similar situation here as the price is trading within the local range between 2 strong volume levels. The first one is the support 1383.30, the second one is the resistance 1435.80. Given that the large volume is concentrated inside this range, we can consider new trading scenarios only after the confident and sharp exit of the price from it.

Furthermore, the movement must be supported by the large volume, which will be a more precise signal for entering the market.

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

The sentiment: this technical indicator totally confirms our trading scenarios with GBP/USD and AUD/USD, which is a a great additional signal. As with other instruments, we can open new positions only after the sharp exit of prices from local consolidations.