US500: A further correction towards 5192 before resuming purchases.
Bearish Scenario: Sales below 5220... Bullish Scenario: Buys above 5225 (if price fails to break below decisively) ...
GBP/JPY: upward headwinds
2020-09-09 • Updated
As we do not look at GBP crosses that often, it makes it even more interesting to see the disposition that is created in GBPJPY since recently.
On the weekly chart below, we may distinguish three elements that shape the situation.
From the downside, we have the range of 125.00 – 127.00 giving clear support to the movement of the pair since late 2016 (marked “1”). During recent years, it was touched once in the summer of 2019 and spring 2020 – both cases saw GBPJPY bounce upwards.
From the upside, we have a long-term downtrend descending to the ranges of 142.50 since February 2018 (marked “2”). In the meantime, April gave rise to a new uptrend (marked “3”) that is opposing the bearish pressure and meets it exactly at the heights of 142.50. It’s not a coincidence that these tectonics collide at 200-MA at the same resistance level.
Although the price went down to 139.50 recently, that may well be just a mid-term retrace – the true battle is at 142.50/200-MA. Either we will see the GBP win over JPY crushing the long-term trend and climbing above 142.50, or it will go sideways below the resistance/bounce downwards. Both scenarios will only be confirmed in the course of several weeks from now as we are observing strategic moves. At this moment, keep in mind that bulls are in the red zone of tilting the strategic disposition – they will have to fight through a lot of fundamental headwinds from Brexit to make it higher.
Similar
US30 Trading Strategy and Key Levels: Where Are the Supply and Demand Zones?
Bearish Scenario: Sell below 39600... Anticipated Bullish Scenario: Intraday buys above 39750... Bullish Scenario after Retracement: Intraday buys above 39150
US100: Consolidated and preparing correction below 18100. Key levels on H4!
Bearish scenario: Shorts below 18100 with TP1: 17900... Anticipated bullish scenario: Intraday Longs above 18130 with TP...
Latest news
USD: Powell Speaks on Cutting Interest Rates
Jerome H. Powell, the Federal Reserve chair, stated that the central bank can afford to be patient in deciding when to cut interest rates, citing easing inflation and stable economic growth. Powell emphasized the Fed's independence from political influences, particularly relevant as the election season nears. The Fed had raised interest rates to 5.3 ...
WTT: Currency Pairs To Trade In April
Hello again my friends, it’s time for another episode of “What to Trade,” this time, for the month of April. As usual, I present to you some of my most anticipated trade ideas for the month of April, according to my technical analysis style. I therefore encourage you to do your due diligence, as always, and manage your risks appropriately.
EURUSD: Seeking liquidity in weekly selling zones. Key intraday levels.
Bearish scenario: Sell below 1.0820 / 1.0841... Bullish scenario: Buy above 1.0827...
