Daily Technical Forex Forecast 19.07.2019


EUR/USD

The Euro demonstrated an abrupt growth supported by the large volume and now is located near the level of resistance/upper limit of the local consolidation 1.1280. Thus, we may reckon a scenario of its breakout, which will allow us to open long positions.

The surge must be keen and supported by the large volume, which will be a more reliable signal. A stop loss should be placed below the breakout volume bar. A potential of the deal is more than 100 points.

GBP/USD

The similar situation with the Pound as the price grew up significantly and on the increased volume yesterday. The pair is still located inside the local range between the support 1.2400 and the resistance 1.2585.

Thus, we can open new positions only after the sharp 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 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 broke the previous level of support, which is a good bearish signal, but after the creation of the new one 107.25, the pair corrected upwards. Nevertheless, given that the correction was on the small volume and the price is still located nigh the level of support, we may regard a scenario of the continuation of this fall and the confident breakdown of the level of support. The fall of the price must be keen, confident and supported by the large volume. A stop loss should be placed above the breakdown volume bar. A potential of the deal is more than 100 points.

USD/CAD

The Canadian dollar resumed falling and now is trading near the level of support/lower limit of the local range 1.3023. Hence, we may regard a scenario of its breakdown, which will be a great signal for opening short positions. The drop must be keen, rapid and supported by the large volume, which will insure us against a fake breakdown. A stop loss should be placed above the breakdown volume bar. A potential of the deal is more than 100 points.

AUD/USD

The Australian dollar showed a sharp and steady growth on the increased volume and broke out the previous resistance level, which is an excellent bullish signal. Moreover, it is necessary to point out a new support level 0.7007, in which an increased volume is concentrated. Given all these factors, we should consider extremely long positions with this instrument. Purchases can be opened after a small and smooth price correction down to get a better entry point. A stop loss should be placed slightly below the new level of support. The potential of the deal is more than 80 points.

XAU/USD

Gold grew up strongly and broke out the previous level of resistance, which is a great bullish signal. Moreover, the movement was supported by the large volume, which only enhances its importance. Now the pair is trading near the level of resistance 1445.80. Hence, we can open long positions only after the sharp breakout of this mark.

The rise of the pair must be rapid, confident 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 150 points.

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

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