Algorand has built a BULLISH base and holding the base breakout and consolidating BUT looks like it is ready to blast off.Bollinger band contraction supports a big move in the cards and the upside trend favoured currently rather than it dropping. Interesting chart setup!!!
Euro at massive resistance, so interesting to see how it plays out. IF the EURO breaks out thus confirming its double bottom reversal pattern, we prefer to be short the Swissie.
As mentioned in the morning, the Swissie HAS NOT confirmed the EURUSD weakness and the EURO is at BIG support. We are watching closely for signs of stabilization which at the time of writing are occurring and a hammer on the 2hr chart appears to be forming. We are getting ready to go long as the risk/reward is attractive!
The Looney is currently near the upper bound of its 1 month range and trying to break higher. Fib Channel measured targets are on the chart. One thing we need to point out is that this consolidation/accumulation period has occurred right at the Feb 1st 2019 low of 1.3068. Price made multiple pierces below but hasn't convincing broken that support level. Therefore...
The Dow is consolidating after hitting new all time highs, keep an eye on the 27050/26989 support zone. A confident break below could see the downside accelerate. US Breadth and Sentiment measures quite negative for the US market as we have highlighted in our posts.
……. is still in 'Safe' haven' mode!. The EURUSD and USDCHF have a strong inverse correlation; therefore any directional move in the EURUSD MUST be confirmed by the Swissie. Looking at the chart we see a bull continuation setup but currently no real movement this a.m. Keep an eye on this one.
Looking at the majors today we can see that the USD is trying to break out and IF it does so it will be validating 2 bullish patterns. Currently the DXY is being led higher by the EURUSD and the USDJPY which have the majority weighting in the Index.
We have been highlighting the longer-term rising wedge pattern in the USD Index (cfd) as a harbinger of weakness in previous posts, and this week we see that price has successfully validated this pattern. From a technical perspective not only has the USD Index (cfd) broken below wedge support but has also, broken again its 200DMA (indicator investors track...
The USD Index has been 'coiling' and still churning to the upside but the rising wedge pattern is a bearish one. The FED meeting this week will likely inject a dose of volatility in the FX market that will result in the Major FX ranges to expand and provide decent trading opportunities. Big FED meeting on Wednesday.
We expect the FX market to be 'quiet' till Wednesday in anticipation of the FED interest rate decision and Powell communique. The EURUSD is still being held back by its downtrending T-Line from the start of the year and has returned back inside its range after last weeks enduring economic data. The FED meeting this week is one of the most important meetings and...
