Currency Pairs Market Analysis

[Solid ECN]

NZDUSD Faces Solid Support​

The NZDUSD pair touched 0.6275 level and found solid support there, to show some bullish bias and retest the broken neckline of the head and shoulders’ pattern that appears on the chart, waiting to resume the negative trades to break the mentioned level and head towards 0.6130 as a next target. Therefore, the bearish trend scenario will remain valid for the upcoming period unless breaching 0.6385 and holding above it.

The expected trading range for today is between 0.6250 support and 0.6365 resistance​

 

[Solid ECN]

USDTRY - CBRT Leaves Rates Unchanged​

Central Bank of the Republic of Turkey announced its final rate decision of 2022 today at 11:00 am GMT. Market expected the main one-week repo rate to be left unchanged at 9.00%. Those expectations were met with the Bank leaving interest rates unchanged. This comes after 4 straight rate cuts at previous meetings. CBRT sees current rate levels as adequate.

As such decision was expected, market reaction was minor. EURTRY moved lower in a knee-jerk move but has recovered initial losses and now trades a touch above pre-decision levels.

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[Solid ECN]

USDJPY - A fall is possible.​

On the daily chart, the third wave of the higher level 3 ended, and a downward correction forms as the fourth wave 4, within which the wave of the lower level a of 4 develops. Now, the wave (v) of a is developing, within which the wave v of (v) is forming.

If the assumption is correct, the USDJPY pair will fall to the area of 127.36 – 121.67. In this scenario, critical stop loss level is 138.

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[Solid ECN]

AUDUSD - US economy grew by 3.2% in the third quarter​

Yesterday, the Reserve Bank of Australia (RBA) published the minutes of a meeting on monetary policy, in which the head of the department, Philip Lowe, explained why the interest rate was raised not by 50.0 basis points but by 25.0 basis points. Officials looked at two priorities, cost control and household resilience, and concluded that despite high inflation, increasing the rate by 50.0 basis points was inappropriate as it would create additional credit pressure on households.

The key event last night was the data on US gross domestic product (GDP): Q3 figure rose by 3.2% after rising by 2.9% earlier. The upward trend was supported by a stable volume of business investment and an increase in consumer spending due to funds accumulated during the coronavirus epidemic. Against this background, the national currency regained some lost positions and consolidated above 104.000 in the USD Index. Also, statistics on initial jobless claims were released: the value, as predicted, was worse than the previous one, showing 216.0K claims against 214.0K a week earlier.

On the daily chart of the asset, the trading instrument is moving below the support line of the local rising channel. Technical indicators are ready to reverse and give a signal to start selling.

Resistance levels: 0.675, 0.688 | Support levels: 0.66, 0.643​

 

[Solid ECN]

USDCAD - The price is in a correction and may grow.​

On the daily chart, the upward fifth wave of the higher level 5 and the wave (3) of 5 develop. Now, the third wave of the lower level 3 of (3) has formed, a downward correction has ended as the fourth wave 4 of (3), and the wave 5 of (5) is developing, within which the wave i of 5 has formed, and the local correction ii of 5 has ended.

If the assumption is correct, after the end of the correction, the USDCAD pair will grow to the area of 1.3978 – 1.45. In this scenario, critical stop loss level is 1.3466.

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[Solid ECN]

USDCHF - Growth is possible.​

On the daily chart, the third wave of the higher level 3 develops, within which the upward first wave (1) of 3 formed, and a downward correction ended as the second wave (2) of 3. Now, the wave C of (2) has ended, and the upward wave (3) of 3 is developing.

If the assumption is correct, the USDCHF pair will grow to the area of 0.9900 – 1.0151. In this scenario, critical stop loss level is 0.9205.

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[Solid ECN]

EURUSD keeps its positive stability​

The EURUSD pair fluctuates within sideways trades since yesterday, keeping its stability above 1.0580 level, to keep the bullish trend scenario valid for the upcoming period, supported by stochastic move at the oversold areas, waiting to visit 1.0745 as a main target.

We remind you that breaking 1.0580 will press on the price to test the most important support at 1.0515 before any new positive attempt. The expected trading range for today is between 1.0560 support and 1.0710 resistance.​

 

[Solid ECN]

GBPUSD approaches the resistance

The GBPUSD pair provided temporary positive trades yesterday to approach the key resistance 1.2135, and bounced downwards quickly from there, to resume the correctional bearish track, waiting to test 1.1950 as a next main target. Therefore, we will keep our bearish overview unless breaching 1.2135 and holding with a daily close above it.

The expected trading range for today is between 1.1940 support and 1.2100 resistance.​

 

[Solid ECN]

EURUSD - Trading near the resistance line of the rising corridor​

Yesterday, November data on borrowings in the EU countries were presented, which was poor: the volume of loans to enterprises grew by 8.4% instead of the expected 8.6%, and to the private sector – by 4.1% instead of 4.3%. Today, investors will pay attention to the dynamics of the Spanish consumer price index in December, and, according to analysts' forecasts, the index, harmonized with EU standards, may slow down from 6.7% to 6.0%.

On the daily chart, the quotes of the EUR/USD pair show corrective growth and are confidently holding near the resistance line of the ascending corridor. Technical indicators point to continued growth.

Support levels: 1.0574, 1.0396 | Resistance levels: 1.0691, 1.0849​

 

[Solid ECN]

EURJPY faces strong negative pressures​

The EURJPY pair surrendered to the negative pressures represented by the moving average 55 consolidation near 142.40 resistance in addition to stochastic exit from the overbought areas, to provide chances to get the negative momentum and notice its crawl towards 140.95, to record the first waited negative target.

We expect to face more negative pressures, to form new negative attack and press on 140.25 level, while breaking it will extend trades negatively towards 139.80 followed by reaching the next main target at 138.20.

The expected trading range for today is between 141.70 and 140.25​

 

[Solid ECN]

EURUSD Gets New Positive Signal​

The EURUSD pair leaned on the EMA50 and begins to provide slight positive trades by today’s open, noticing that stochastic overlaps positively now, waiting to motivate the price to resume the expected bullish trend for the upcoming period, which its targets begin by testing 1.0745, noting that breaching this level will extend the bullish wave to reach 1.0840 areas.

Therefore, the bullish trend scenario will remain valid and active, noting that breaking 1.0640 might press on the price to provide intraday negative trades that target testing 1.0515 areas before any new attempt to rise.

The expected trading range for today is between 1.06 support and 1.0760 resistance.​

 

[Solid ECN]

USDJPY Resumes the Main Bearish Track​

The USDJPY pair faced strong negative pressures in the previous sessions to return to the main bearish channel, and begins today with additional decline to break 130 barrier and open the way to continue the bearish bias on the intraday and short term basis, making the bearish trend dominant in the upcoming sessions, and we expect to target 128.90 followed by 127.85 levels as next main stations.

The EMA50 supports the expected decline, which will remain valid unless breaching 130.55 and holding above it, as breaching this level might push the price to test 132.35 areas initially before any new negative attempt.

The expected trading range for today is between 128.60 support and 130.50 resistance​

 

[Solid ECN]

USDCAD Begins Negatively ​

The USDCAD pair found solid resistance around 1.3600, to rebound downwards strongly now, on its way to turn to decline and head to achieve negative targets that start by testing 1.3500 and extend to 1.3405 after breaking the previous level.

Therefore, we expect to witness more bearish bias today supported by the negative signals provide by stochastic, taking into consideration that breaching 1.3620 will stop the current negative pressure and push the price to 1.3680 initially.

The expected trading range for today is between 1.3460 support and 1.3600 resistance.​

 

[Solid ECN]

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NZDUSD Technical Analysis​

The NZDUSD pair trades with strong negativity to break 0.6275 and form double top pattern that has negative targets that start by testing 0.6130, to suggest the continuation of the bearish bias in the upcoming sessions as long as 0.6275 level remains intact, noting that breaking 0.630 will extend the bearish wave to reach 0.6010 areas as a next main station.

The expected trading range for today is between 0.6150 support and 0.6260 resistance​

 

[Solid ECN]

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EURUSD - The possibility of growth remains.​

On the daily chart, the downward wave of the higher level A has completed, in which the fifth wave (5) of A has appeared and the upward wave B is developing. At the moment, the construction of the first wave 1 of (A) of B continues, in which the third wave of the lower level iii of 1 has formed and the development of a local correction as the fourth wave iv of 1 is observed.

If the assumption is correct, the EURUSD pair will rise to the area of 1.1 – 1.1196. The level of 1.0485 is critical and stop-loss for this scenario.

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[Solid ECN]

GBPJPY Under the Negative Pressure​

The GBPJPY pair ended yesterday by touching 155.35 level, to approach the previously waited target followed by bouncing temporarily towards 157, noting that the bearish track will remain valid depending on 158.70 level forming additional barrier, to expect gathering the additional negative momentum by reaching 155 level followed by attempting to press on the historical support at 154.55.

Any attempt to rally above the mentioned barrier might lead to postpone the negative attack and start the correctional bullish track again, to target 160 as a first correctional station. The expected trading range for today is between 157.6 and 154.6.​

 

[Solid ECN]

USDCHF - The possibility of growth remains.​

On the daily chart, the third wave of the higher level 3 is developing, in which the ascending first wave (1) of 3 appeared and the downward correction ended as the second wave (2) of 3. At the moment, wave C of (2) has ended and wave (3) of 3 is developing.

If the assumption is correct, the upward dynamics of the USDCHF pair will continue to the area of 0.9900 – 1.0151. The level of 0.9195 is critical and stop-loss for this scenario.

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[Solid ECN]

GBPJPY Under the Negative Pressure​

The GBPJPY pair ended yesterday by touching 155.35 level, to approach the previously waited target followed by bouncing temporarily towards 157, noting that the bearish track will remain valid depending on 158.70 level forming additional barrier, to expect gathering the additional negative momentum by reaching 155 level followed by attempting to press on the historical support at 154.55.

Any attempt to rally above the mentioned barrier might lead to postpone the negative attack and start the correctional bullish track again, to target 160 as a first correctional station. The expected trading range for today is between 157.6 and 154.6.​

 

[Solid ECN]

NZDUSD - The price is in a correction, a fall is possible.​

On the daily chart, the upward wave of the higher level (А) formed, a downward correction ended as the wave (B), and the development of the wave (C) started. Now, the first entry wave of the lower level i of 1 of (C) has formed, and a local correction is developing as the second wave ii of 1 of (C), within which the wave (c) of ii is forming.

If the assumption is correct, the NZDUSD pair will fall to the area of 0.6008 – 0.5890. In this scenario, critical stop loss level is 0.6383.

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[Solid ECN]

AUDUSD - Growth is possible.​

On the daily chart, the first wave of the higher level (1) formed, a downward correction ended as the second wave (2), and the development of the third wave (3) started, within which the first entry wave of the lower level i of 1 of (3) develops. Now, the wave (iii) of i has developed, a local correction has ended as the wave (iv) of i, and the wave (v) of i is developing.

If the assumption is correct, the AUDUSD pair will grow to the area of 0.7040–0.7142. In this scenario, critical stop loss level is 0.6681.

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