EURUSD
The EUR/USD support zone at 1.2206 could not hold the negative impulse. The price dropped and headed for a test of the major target at 1.2161. A successful breach of the aforementioned zone would easily lead to future losses for the EUR against the USD and would pave the way to the lower support level at 1.2084. At the time of writing, the most probable scenario is for a retracement towards the level of 1.2206, which is now acting as a resistance. If the push is successful, we should see an attack of the upper target at 1.2268.
GBPUSD
GBP/USD even crossed the 1.3500 resistance zone, but it failed to gain more strength above 1.3600. There was a downside correction below the 1.3560 support level. There was also a break below a key bullish trend line at 1.3550 on the same chart. The pair spiked below the 38.2% Fib retracement level of the upward move from the 1.3304 swing low to 1.3618 high.
An initial support on the downside is near the 1.3460 level. It is close to a key multi-touch zone and also coincides with the 50% Fib retracement level of the upward move from the 1.3304 swing low to 1.3618 high. Any more losses could lead the pair towards the 1.3420 support and the 100 SMA. On the upside, an initial resistance is near the 1.3560 level. The main resistance is near the 1.3600-1.3620 zone. A close above the 1.3620 level is must for upside continuation.
USDJPY
The USD/JPY price consolidated around the 103.72 level. Only a confirmation of a positive breach here could lead the pair to an attempt for violation of the upper target at 104.03 where a success would strengthen positive sentiments of the market participants. If bears prevail, the decline could pave the way for a test of the support level at 103.49. A breach here could deepen the dip and lead the pair to a test of the important support zone at 103.27.
AUDUSD
A sixty-minute timeframe, Australian Dollar could not take out the highs of 17th December near 0.7640 and has pulled back to the 38.2% Fibonacci retracement from the lows of December 21st to today’s highs, near 0.7561. Watch for bounces to 0.7580/0.7600 to be sold. Additional support below at horizontal support and the 50% retracement level from the same timeframe is near 0.7523. The 61.8% Fibonacci retracement level comes in near 0.7523.
USDCAD
USD/CAD remains neutral for the moment. Another rise is mildly in favor with a short term bottom in place at 1.2688. On the upside, above 1.2957 will target 1.3172 resistance first. Break there will extend the rebound to 1.3389 key structural resistance next.
WTI entered a consolidative period in mid-December and the upward momentum appears to be faltering. An immediate resistance level can be found at US$ 49.40 – a recent high. A failed attempt to breach this level has resulted in a pullback to test its 20-Day SMA line. Breaking below the 20-Day SMA may open the door for further losses, with an eye on US$ 45.80 – the 23.6% Fibonacci retracement.
XAUUSD
Gold prices have advanced steadily since bulls reclaimed the positively-sloped 200-day SMA. Defending this key technical level seems to have sparked the resumption of buying pressures corresponding with a string of higher lows and higher highs. That said, eclipsing the critical barrier of resistance around $1,900 could recharge gold bulls. This potential breakout level might tee up a heartier push toward the 61.8% Fibonacci retracement level of the trading range developed since August.
Legal: CF Merchants is the trading name of Commodity and Forex Merchants registered and regulated in many Jurisdictions. CF Merchants Limited is regulated with license number 24535/2018, at Suite 305, Griffith Corporate Center, P. O. Box 1510, Beachmont, Kingstown, Saint Vincent and the Grenadines as an International Broker Company under the company act of Saint Vincent & the Grenadines. The objects of the Company are all subject matters not forbidden by International Business Companies (Amendments and Consolidation) Act, Chapter 149 of the Revised Laws of Saint Vincent and Grenadines 2009, in particular but not exclusively all commercial, financial, lending, borrowing, trading, service activities and the participation in other enterprises as well to provide brokerage, training and managed account services in currencies, commodities, indexes and leveraged financial instruments.
Commodity and Forex Merchants Limited is authorized under license number 1092420 by the Companies House, Cardiff, United Kingdom on 21st August 2017.
High Risk Investment Warning: Margin FX are leveraged products that carry an extraordinary level of risk to your funds. Trading is not suitable for everyone and may result in you losing significantly more than your investments and therefore, you should not speculate with capital that you cannot afford to lose. You should consider whether you understand how this work and whether you can afford to take the high risk of losing your money. All the trading related information on this website is general in nature and does not take into account your or your client’s personal intentions, financial conditions and needs. We encourage you to seek independent advice if necessary. It is the responsibility of the client to ascertain whether he/she is allowed to use the services of the CF Merchants based on the legal requirements in his/her country of residence. Please read full Risk Disclaimer for more details.
Regional Restrictions: CF Merchants (SV) Ltd does not provide services and accept applications from the residents of certain countries, such as United States of America, Canada, Israel, North Korea and Saint Vincent & The Grenadines. The statistics on this website is not directed at residents in any country or jurisdiction where such distribution or use would be contradictory to local law or regulation.
© 2011-2020 CF Merchants Ltd.