- Trend. Based on the blue I find the trend still UP, albeit suffering from a severe correction.
- Support. The falling price has found support on the (9.36575), which happened to be just above the prior high (9.35238) and a bit below 161.8% of the prior down swing's range size. The range between thses price is a particularly strong . There is also another support on the lower parallels of the , which can be anywhere between 9.335 and 9.360, but anyway I find the key major around 9.36.
- Resistance. Price may stop and reverse on the black down sloping , barely reaching 9.42, but I think we'll see more to the up side than that. I find the first resistance to be at 9.43 (prior major low) and the next one at about the 41.6-Fib retracement level, ie. around 9.464. Then, if euro is strong enough price, may even test the , and possibly reach 9.50.
- Trading opportunites: enter long at one of the support levels, with a stop-loss order below the corresponding prior low, looking to exit at some of the resistance levels with R:R of at least 1:1.
Here's the summary of how I see the current situation in financial markets (as of Sat. 20.02.2016, 20:00 CET):
The strongest currency: JPY (however, currently overbought and quite likely to weaken a bit in coming hours).
The weakest currency: GBP (however, strenthening).
The leading markets:
- XAUGBP - trending up;
- XAUUSD - trending up;
- XAUEUR - trending up;
- XAUCHF - trending up;
- GBPJPY - trending down;
- Natural Gas - trending down;
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