The Aussie rose for a seventh day, which is statistically quite rate. That stat alone suggests the bullish sequence is in need of a break, and the technical might just agree.
A wide bearish pinbar formed around the 100 and 200-day EMAs whilst RSI(2) was overbought. From here, bears could seek to fade into retracements within Thursday's pinbar and initially...
A downtrend has formed on USD/CNH since it failed to retest the 2022 high in September. Since then, a lower high, aggressive selloff and a bearish continuation pattern (rising wedge) has formed on the daily chart. The rising wedge projects a downside target towards the cycle lows ~7.1.
If the yuan continues to depreciated (lower USD/CNH), it could prompt other...
A double top formed this month around a 50% retracement level on the daily charts ahead of its latest pullback. And it is interesting to note that the market tends to react around the 50% level.
The double top could actually be part of a 3-wave retracement, and that retracement could be nearing completion.
We saw a strong rally into the January high, hence the...
Momentum has clearly been in favour of bears over the past week for WTI traders, but given it has fallen over 10% from the January high it could be argued the move is oversold (at least over the near term).
A doji formed on Monday to show bears are losing their grip, and the fact it is forming a base above the 2023 open price and $72 handle adds to the case for...
AUD/JPY is holding above its 100-day EMA, and so far it looks like the spike lower last Thursday will be left unchallenged.
This is more of an interesting observation than anything else, but... since July AUD/JPY has printed a prominent spike / higher low every 40 - 47 days. If that pattern is to hold, is suggests the next trough could land at the end of May /...
Gold futures saw a false break of $2060 on Wednesday, before momentum turned lower and sent prices back beneath the weekly and monthly pivot points. Those pivots have since turned into resistance, before gold saw a trendline break.
As RSI (2) is oversold and prices have found support at the 10-dy EMA and daily S1 pivot, bulls could seek a near-term swing long...
The ASX 200 cash market rose for a second day, although the SPI 200 futures closed flat with a potential bullish pinbar on the daily chart. The 1-hour chart also shows a potential bull flag, which projects a target around 7640 (or the Feb 2nd overnight VPOC - volume point of control).
For today, bulls could seek pullbacks towards 7580 - 7587 (overnight VPOC) in...
The core bias remains for a move up to $77, but as price action during the current rally on the 1-hour chart is choppy and has stalled near resistance, we're looking for a dip lower to around $73.
Also note that the weekly and monthly pivot points are hovering above the 10/20-day EMAs, which adds conviction that an interim top may be about to form.
The Japanese yen may have weakened following the BOJ’s latest ‘non decision’ regarding monetary policy, but markets clearly weren’t surprised enough for it to extend its bearish moves today. Not a single xxx/JPY pair managed to break above its cycle highs, and momentum is now turning lower on these pairs to show a strengthening of the yen.
But what has caught...
Trading conditions have been choppy over the past week and a half for currency traders whilst the US dollar index has remained trapped between its 50 and 20-day EMAs. But USD/JPY shows the most promise for a breakout, which we suspect could be to the upside.
A false break below 147 last week suggests the corrective low could be in, and a 3-day bullish reversal...
AUD/USD fell from the late-December high to mid-January low in a fairly straight line, so it is no surprise to see prices have consolidated. However, the consolidation cannot last forever so we're looking for its next directional.
Given the Aussie has failed to rally despite 'good news' from China, perhaps a spell of bad news could send it lower. That, or a...
Price action has been very choppy on the daily crude oil chart, but if we place a line chart over the top is shows prices are trying to break out of a small triangle / pennant. Whilst these are usually expected to be continuation pattern, they can also make decent reversal pattern. And this case, we've see prices hold above $70 on a closing basis, and the lower...
Bearish engulfing day saw it closed beneath $2020 - a level it has flirted with but mostly respected as S/R on a daily close basis. This level was also tested on the 1-hour chart - which means support became resistance.
A triple top formed on the 1-hour chart, and bears entered ~2035 to help it break below 2020, before volumes diminished. (Bears are short at the...
We have remained bullish the US dollar the past few weeks, and continue to suspect there are plenty of shorts to be covered as markets finally concede that fewer Fed cuts are coming this year and already priced in.
The dollar has posted a strong rally YTD, and after a brief consolidation momentum is trying to turn higher with a bullish outside candle. It's not...
If commodity FX is anything to go by, we could be in for a bout of risk-off. The yen and US dollar were the strongest majors, which saw AUD/JPY and NZD/JPY pull back from cycle highs and form bearish outside days alongside AUD/USD and NZD/USD.
The fact that AUD/USD reversed at its 200-day average and closed beneath the 200-day EMA makes it likely the 2-day bounce...
Like NZD/USD, the Aussie is refusing to roll over despite a strong US inflation report. That is in itself a sign of strength.
The daily chart is yet to see a close beneath the Q3 open, and the lows are holding above the 50-day EMA and 38.2% Fibonacci level. A bullish RSI divergence also formed from the oversold zone to suggest a swing low has formed or is...
Risk aversion reigns supreme, casting a dark cloud over AUD/USD just before today’s employment report drops. A stellar jobs report is unlikely to spark calls for an imminent RBA hike, but it might prompt some short covering on the Aussie.
Besides, there are early signs of stability above the 65c zone with Wednesday’s lower wick, which saw a false break of the...
Index futures held their ground overnight, and the US dollar's rally is showing signs of near-term exhaustion. And that indicates a subtle change in sentiment ahead of today's open.
The DAX found support at its 50day EMA on Wednesday, which is just above the 2021 high. Given a small-ranged bullish hammer formed alongside higher volume suggests a 'change in...
