Daily Technical Forex Forecast 17.07.2019


EUR/USD

The price demonstrated an abrupt drop and now is testing the level of support/local minimum 1.1200. The movement was supported by the increased volume. Therefore, we may regard a scenario of its breakdown, which will be a great signal for opening short positions.

The fall of the price must be keen 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 more than 100 points.

GBP/USD

The similar situation here as the price showed an abrupt fall supported by the large volume. The fall of the pair was stopped by the new volume level of support 1.2400. Given that the price is trading near this mark, we may reckon a scenario of its breakdown, which will be a great bearish signal.

The sink of the price must be abrupt, confident and supported by the large volume, which will be a more reliable and 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 120 points.

USD/JPY

Nothing has changed here as the price is trading inside the local range between 2 strong volume levels. They are the support 107.60 and the resistance 108.96. Thus, we can open new positions only after the sharp and confident exit of the price from it. Moreover, the movement must be supported by the large volume, which will insure us against a fake breakout.

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

USD/CAD

The Canadian dollar tested the resistance level 1.3084, but could not break it out and then sharply corrected downwards. The price is located within the local range between this mark and the previous level of support 1.3023. Therefore, we can consider new positions only after the confident and keen exit of the price from the local consolidation. Moreover, the move must be supported by the large volume.

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

AUD/USD

The Australian dollar also corrected down yesterday, but the movement was smooth and on the small volume. Besides it, the price is still trading near the resistance level 0.7036. Hence, we may reckon a scenario of its breakout, which will be a great bullish signal. The surge must be abrupt, sure and supported by the large volume, which will be a more secure signal for entering the market. 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 is locked in the middle of the local consolidation between the support 1383.30 and the resistance 1435.80. Given that the large volume is concentrated within this range, we can open new positions only after the confident and keen exit of the price from it.

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

While the pair is locked inside this range, we’d better skip this instrument from our trading plan.

The sentiment: this technical indicator totally affirms our trading scenarios with EUR/USD, GBP/USD and AUD/USD (trading against the “crowd”), which is a great additional signal. As with other instruments, we can open new positions only after the confident exit of prices from local ranges. 

 

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