Analytic reviews

The euro currency fluctuated in a narrow range tilted to the upside during the Asian session to witness its bounce to the second session from the lowest since April 24 of 2017 against the US dollar on the threshold of developments and economic data expected at the beginning of this week by the economies of the euro area and amid the scarcity of data Economic Monday by the US economy due to the Presidents Day holiday in the United States.

At 05:06 AM GMT, the euro pair rose against the US dollar by 0.04% to 1.0838 levels compared to the opening levels at 1.0834, after the pair achieved its highest level during the trading session at 1.0844, while achieving the lowest at 1.0821, knowing that The pair started the trading session on an upward price gap after it concluded the trading last week at 1.0831 levels.

The markets are currently looking forward to launching the meetings of the Eurogroup, which the finance ministers of the member states in the region are attending, the Commissioner for Economic and Monetary Affairs and the European Central Governor, which discusses many financial issues such as mechanisms to support the euro and government funding, as investors look to later in the day to reveal the bank’s monthly report German Central.

Technical analysis

The EURUSD pair remains below 1.0860, and therefore, the bearish trend scenario is still effective for the coming period, supported by the negative pressure that SMA 50 constitutes, and the path is open to achieving our next target which is located at 1.0760.

We remember that the downside trend is expected in the medium and long term, taking into consideration that a breach of 1.0860 represents a positive key that will lead the price to start recovery attempts and make some bullish correction.

The expected trading range for today is between 1.0750 support and 1.0900 resistance

Expected trend for today: bearish.

The narrow range continues to dominate the trading of the Australian dollar against the US dollar, which is moving near 0.6754, and as long as the price is below this level, our bearish expectations will remain valid for the next period, supported by the gradual loss of the positive stochastic momentum, noting that we are waiting to target levels 0.6670 then 0.6560 mainly.

The expected trading range for today is between 0.6670 support and 0.6755 resistance.

Expected trend for today: bearish.

The pair consolidates above 1.0830. It will continue its local decline after overcoming this mark. The main reason behind this is still the weakness of the European economy and the ECB’s monetary policy that is no longer expected to get tighter.

The price is below the middle Bollinger band, below SMA 5 and SMA 14. RSI is located above the oversold zone and moves horizontally. Stoch are below the 50% level and indicate a weakening of the decline.

Trading recommendations:

Sell the pair after the price crosses the 1.0830 mark with a likely target of 1.0800.

When buying an option against a trend, it is necessary to confirm other technical analysis tools – the presence of divergence, candlestick reversal patterns. Buy against the trend strictly on the retest level! Buying an option before publishing important economic news is considered risky.  The expiration time depends on the strength of the level and confirmation by additional technical and fundamental analysis tools.

The lower border of the ascending price channel and the support level of 448.00 held back sellers. The price pivot zone of 465.40 holds back buyers. Breaking through the level of 465.40 will result in the formation of an uptrend 1-2-3 within the overall uptrend. Also, Stochastic Oscillator indicator signals oversoldness.

Trading recommendations:

Buy above 465.40.

Stop loss: 448.00.

Target levels: 481.40; 488.34.

The overall trend is upward. The support level of 1.3235 is holding back sellers. A double truncated pattern of the H2 and H1 levels has formed. Awesome Oscillator shows a bullish divergence. Stochastic Oscillator indicator located in the oversold range. A possible rebound has formed in the range of 365 and 135 moving averages.

Trading recommendations:

Buy while an ascending pattern is forming, where the wave (as) breaks through the inclined channel of the descending pattern of the H2 level.

Stop loss under the local minimum (1.3235).

Target levels: 1.3300; 1.3320.

When buying an option against a trend, it is necessary to confirm other technical analysis tools – the presence of divergence, candlestick reversal patterns. Buy against the trend strictly on the retest level! Buying an option before publishing important economic news is considered risky.  The expiration time depends on the strength of the level and confirmation by additional technical and fundamental analysis tools.

The overall trend is upward. The stock is trading in the range of 365 and 135 moving averages directed upwards. The support level of 33.30 holds back sellers, and Stochastic Oscillator signals oversoldness. If the price fixes above the resistance level of 33.77, it will result further growth within the overall uptrend.

Trading recommendations:

Buy above 33.77.

Stop loss: 33.30.

The goal: 34.95.

If the profit ratio is equal to the potential risk, it is possible to partially close the transaction and transfer it to breakeven.

The overall trend is downward. The assumed upward correction ended with a breakthrough of the inclined channel. Breaking through the price pivot zone 82.62 will result in the formation of a descending pattern within the wave (C) of the H12 level. A bearish divergence has formed on Awesome Oscillator indicator, and Stochastic Oscillator signals overboughtness.

Trading recommendations:

Selling below 82.62.

Stop loss: 83.10.

Target levels: 82.25; 81.60.

Gold has reached a local maximum of 1577.00 and may turn down if the dollar receives support today amid the publication of statistics from the US economic data and the growing demand for risk assets.

The price is above the middle Bollinger band, below SMA 5, but above SMA 14. RSI is above the 50% level and moves horizontally. Stoch tests the level of 50%, steadily declining.

Trading recommendations:

Sell gold after the price crosses the 1572.70 with the probable target of 1563.00.