EUR/USD
After the formation of the new volume level of support 1.0935, the price sharply corrected upwards. The movement was supported by the increased volume and now the price is trading inside the local range between this mark and the previous level of resistance 1.0987 – 1.1002.
Hence, we can open new positions only after the confident breakout of one of these levels and the keen exit of the price from this consolidation. The movement must be supported by the large volume, which will be a more secure signal for entering the market.
While the price is trading inside this range, we’d better stay out of the market.
GBP/USD
The same situation with the Pound as the price demonstrated an abrupt growth after the creation of the new support 1.1962 – 1.1974. Therefore, the price is still located inside the local range between the new support and the previous level of resistance 1.2306.
That’s why, we can consider new positions only after the sharp and confident exit of the price from this consolidation. Moreover, the breakout movement must be abrupt and 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
Nothing has changed here as the price continues trading inside the local range between the support 105.12 and the resistance 107.60. Thus, our previous scenario remains relevant: we can open new positions only after the keen exit of the price from the consolidation. Moreover, 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 locked inside this range, we’d better omit this instrument from our trading plan.
USD/CAD
The Canadian dollar showed a sharp downward correction after the creation of the new resistance level 1.3376. Now the pair is trading inside the local consolidation between this mark and the previous level of support 1.3252. Hence, we can open new positions only after the confident and abrupt exit of the price from it. Moreover, the breakout movement must be supported by the large volume, which will insure us against a fake breakout.
Until that, we’d better omit this instrument from our trading plan.
AUD/USD
The Australian dollar corrected upwards after the test of the level of support 0.6696. The move was keen and supported by the large volume, nevertheless, it’s still located within the local range between this mark and the level of resistance 0.6816. Thus, we can open new positions only after the sharp exit of the price from it. Moreover, 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 trading within this consolidation, we’d better stay out of the market.
XAU/USD
The price showed a confident growth and broke out the previous level of resistance, which is a good bullish signal. Moreover, the movement was supported by the large volume. Besides it, we need to allocate the new support 1535.00 – 1538.20.
Considering all these factors, we should give advantage to long positions. We can enter the market after a smooth downward correction, in order to get a more profitable entry point. A stop loss should be placed below the support level. A potential of the deal is more than 300 points.
The sentiment: this technical indicator totally confirms our trading scenario with gold, which is a good additional signal for us. As with other currency pairs, we can open new positions only after the confident and keen exit of prices from local consolidations.
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