is this a head and shoulders pattern?
Who knows. Just thought I'd point it out.
current prices are at long term support ahead of GDP so today's move could be pivotal.
The AUDUSD pair looks like it going to test the long term trend (pink) line which happily coincides with the horizontal resistance (blue) line.
There is RSI divergence on the weekly chart and maybe with MACD too. These are signs that a trend reversal may be underway.
If resistance holds, a new longer term downtrend will resume. If it is broken to the upside,...
Speculative sell in USDCAD. We are seeing a reversal in sentiment this am following Chinese GDP data. Oil looks firmer as does the US dollar. We are selling the USDCAD pair on a speculative basis. Possible downside target at 1.35
In the chart we can see a bullish cross on MACD together with rising lows on RSI confirming the recent upmove in this currency pair. We are taking a short term long in this pair with a stop at recent lows. Good luck.
The long position entered on a breakout of the 1.40 level is finally seeing divergence on RSI. We warned earlier "that this trade (long USDCAD) is crowded: the relationship between the USDCAD pair and oil prices is well known to pro traders, hedge funds etc. Many analysts have written about this trade over the last 12m to alert retail traders to the opportunity....
On 5 Jan 2016 we identified a level to short this currency pair. The target was at 1.4230 which we nearly reached on 15 Jan 2016. Today we see support has held following the release of Chinese GDP & retail sales data. Whilst the strengthening US dollar provides a decent tailwind for this trade, today's UK inflation data, the muted impact of Iranian oil being added...
