Daily Technical Forex Forecast 20.08.2019


EUR/USD

The Euro has already resumed falling after this upward correction and now is trading nigh the level of support/local minimum 1.1068. Therefore, we may reckon a scenario of its breakdown, which will be a great bearish signal.

The fall must be keen and supported by the large volume, which will insure us against a fake breakout. A stop loss should be located above the breakdown volume bar. A potential of the deal is more than 100 points.

GBP/USD

The price fell down sharply yesterday and now is located in the middle of the local consolidation between 2 strong volume levels. They are the support 1.2052 and the resistance 1.2182. Besides it, we need to point out that the large volume is concentrated within this range.

Hence, we can open new positions only after the confident and abrupt exit of the price from it. Moreover, 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.

USD/JPY

The price grew up yesterday, but the growth was smooth and on the small volume, therefore we can’t allocate any new volume levels or zones. Moreover, the price is still locked in the local range between the support 105.12 and the resistance 107.60. Therefore, we can open new positions only after the confident and keen exit of the price from the consolidation. Furthermore, the breakout movement must be supported by the large volume, which will be a more reliable signal for entering the market.

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

USD/CAD

The Canadian dollar demonstrated an abrupt surge and now is testing the level of resistance/upper limit of the local consolidation 1.3333. Thus, we may reckon a scenario of its breakout, which will be a great bullish signal. The rise must be keen, rapid 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 100 points.

AUD/USD

Nothing has changed with the Australian dollar as the price continues trading within the local consolidation between 2 strong volume levels. They are the support 0.6747 and the resistance 0.6817. Hence, we can consider new trading scenarios only after the sharp exit of the price from the range. The movement must be confident, keen and supported by the large volume, which will insure us against a fake breakout.

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

XAU/USD

The price continued falling and now is testing the level of support/lower boundary of the local range 1493.20. Hence, we can and should reckon a scenario of its breakdown, which will allow us to open short positions.

The drop of the price must be abrupt, keen and 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 300 points.

The sentiment: this technical indicator totally affirms our trading scenarios with EUR/USD and USD/CAD, which is a good additional signal. As with gold, the situation is equal, so that we should wait for an appearance of an additional signal. As with other pairs, we can consider new positions only after the sharp exit of prices from local consolidations.

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