Daily Technical Forex Forecast 27.08.2019


EUR/USD

The Euro tested the level of resistance 1.1152, but then sharply corrected downwards. Now the pair is locked inside the local consolidation between this mark and the previous level of support 1.1068.

Therefore, we can consider new positions only after the confident and keen exit of the price from this consolidation. Moreover, 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 locked inside this range, we’d better stay out of the market.

GBP/USD

The Pound also corrected downwards yesterday, but the movement was smooth and on the small volume. Given that the price is still located above the volume level of support 1.2200, we still should prefer a scenario of opening long positions.

We can enter the market after a stoppage of this correction and a resumption of an abrupt rise supported by the large volume, which will be a more secure signal for entering the market. A stop loss should be placed below the level of support. A potential of the deal is more than 120 pips.

USD/JPY

The Yen demonstrated an abrupt growth supported by the increased volume yesterday and now is located inside the local consolidation between the support 105.12 and the resistance 107.60. Nevertheless, the price has already resumed falling and is trading near the lower boundary of the local range. Hence, we may reckon a scenario of its breakdown, which will allow us to open short positions. The sink must be rapid, keen 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

USD/CAD showed a confident fall, but the movement was on the small volume, so that we can’t allocate any new volume levels or zones. Moreover, the pair is locked within the local consolidation between 2 strong volume levels. They are the support 1.3214 and the resistance 1.3333. Hence, we can open new positions only after the sharp and keen exit of the price from the range. The movement must be supported by the large volume, which will be a more precise signal for entering the market.

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

AUD/USD

The Australian dollar demonstrated an abrupt rise, but then restarted sinking and now the pair is located within the local consolidation between 2 strong volume levels. The first one is the support 0.6714 and the resistance 0.6817. Therefore, we can consider new positions only after the rapid and keen exit of the price from it. Furthermore, the breakout movement must be supported by the large volume, which will be a more secure signal for entering the market.

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

XAU/USD

The price corrected downwards after an abrupt growth yesterday. Nevertheless, the price is still located above the volume level of support 1525.30. Thus, we still should prefer a scenario of opening long positions.

We can enter the market after a slight downward correction, in order to get a better entry point. A stop loss should be placed below the level of support. A potential of the deal is more than 300 points.

The sentiment: this technical indicator totally affirms our trading scenarios with USD/JPY and XAU/USD, which is a good additional signal. The opposite situation with GBP/USD, so that we should be extremely careful. As with other instruments, we can open new positions only after the sharp exit of prices from local consolidations.

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