Sunday , April 18 2021

Foreign exchange rate action settings in EUR / USD, GBP / USD, USD / CHF and USD / CAD



Forex Talking Points:

– Quarterly quarterly Q2 forecasts of DailyFX have been recently published and are available directly from the following link: DailyFX Trade Guides, Q2 Predictions.

– For trading ideas, please check our trading guides. And if you are looking for something more interactive in nature, please check our DailyFX Live webinars.

– If you want more colors around any of the settings below, join our live DailyFX webinars each week, scheduled for Tuesday and Thursday at 1 am Eastern time. You can register for each of these sessions from the link below:

Tuesday: Tuesday, 1:00 ET

Thursday: Thursday 1:00 ET

Do you want to see how retailers are currently trading the US dollar? Check out our I.G..

US dollar traded to fresh 2019 High: It's time to go back or more to go?

And the dollar of course broke out. Last week's FX Setups, I asked the question if this would be the week when US dollar bulls took control. This comes after months of digestion by building currencies deeper into a symmetrical wedge pattern and as seen the technical forecast for Q2 of the US dollar, this brought with it bullish potential for the US currency.

Now, when prices set that fresh 22-month high in the US dollar, the big question is whether buyers will be able to extend the move. Questions more interesting – the economic calendar next week is absolutely loaded, with a FOMC decision on Wednesday, on Thursday on the Bank of England's decision on "Super Thursday" and then Friday for non-Farm payments. And they are just the main moments, because the curtain is burdened with events of great influence, which could apply feasible price movements in different locations. Below, I see a series of price action settings across the US dollar.

The US dollar maintains resistance to a 22-month high

us dollars daily daily price table

Table prepared by James Stanley

Measure EUR / USD waiting below 1.1262

Euro bears finally made their move: the range that was built in the past five months has deviated, because the value of US power and the weak weakness of the Euro saw the most popular foreign exchange rate of the world at a new low of 22 months. I reviewed this scenario last week, initially I was just looking for a support move; but with this came the potential for a break-even stop movements that could provide a breakthrough game.

Prices dropped to support the level of 11,120, with a small grinding began to develop. That grinding took place through Friday open and prices began to top-higher. This can keep the door open for further re-movement, directing that previous support zone to lower high resistance. The highest placement this week on 1.1262 can serve as a form of cancellation, and if that topic appears, then we will probably look at weaknesses in dollars, with other settings (such as USD / CHF or USD / CAD) see below can be interesting.

EURUSD pricing price of eight hours

eurusd eur / usd eight hour graph

Table prepared by James Stanley

It was a GBP / USD pending menu below 1.3020

I started looking at short GBP / USD strategies a few weeks ago, trying to predict this commemorative breakthrough.

GBP / USD showed a similar backdrop to the recent, as a round of digging followed a major move. GBP / USD was very strong for the first two months of the year, with volatility increasing around March, in response to the dynamics of Brexit. But as the topic cools, just like the GBP / USD volatility, and then the money went to the next month in a triangle. This type of patterns will often be approached with a bear target, in search of the same motivation that is taken in bears at lower altitudes, in the end, they allow for penetration through horizontal support.

It finally happened this week as US dollars broke out in new 22-month highs, and GBP / USD continued to the target until the first goal being discussed last week's FX Setups. This extends around 1.2900 lever, as two different Fibonacci levels in the immediate vicinity offer an element of the basin.

And now, when the bounce rises, the potential for continuing the trended trend, and that the previous low-triangle support zone can now be reused as a potential resistance. This zone ranges from 1.2960 to 1.3000, and the resistance here can open the door for bearish strategies with stops explored above 1.3020. The target potential can remain around the same 1.2900, 1.2829, 1.2783, and in the longer term, the zone 1.2671-1.2721.

GBP / USD price of eight hours

gbpusd gbp / usd eight hour graph

Table prepared by James Stanley

Bearish USD / CHF: potential for redirection of waiting below 1.0250

It was a wild month in USD / CHF, as the pair pushed-higher off of Fibonacci level in .9902 to collect on fresh two-year highs in a relatively short period of time. Prices in pairs tested over 1,0200-handle this week, and this seems to be around where the bears began to appear as Tuesday-Friday brought a continuous show of resistance.

For traders who want to lose the strength of the US dollar or for traders who are open to working with reversal scenarios, such a configuration can exist in USD / CHF. Merchants can explore risk levels over sources with targets targeted at 1.0100 level. The first goal could consider interrupting pause interruptions, with the secondary target potential being around the parity level of 1.0000.

USD / CHF daily price table

usd / chf usdchf daily price table

Table prepared by James Stanley

USD / CAD finds a resistance of 1.3500, builds a potential for return

I tried to catch the short side of USD / CAD last week, but this did not work, because both the CAD forces and the weakness of the CAD hit the couple up to new three-month highs. But what appeared soon was a hit of resistance to 1.3500 handle, and prices have since started to show a tendency to reversal.

This can re-open the door for swords strategies, and retailers who see risk levels above the quarterly level could merge this with an initial goal around level 1.3385 to strive for a better 1 to 1 ratio of risk reward.

USD / CAD Living Table

usd / cad usdcad daily price table

Table prepared by James Stanley

To read more:

Are you looking for a long-term analysis of the US dollar? Our DailyFX predictions for Q4 you have a part for every big currency, and we also offer a lot of resources USD-pairs as they are EUR / USD, GBP / USD, USD / JPY, AUD / USD. Traders can also stay with approximately positioning through our I.G..

Forex trading resources

DailyFX offers abundance the tools, indicators, and resources to help retailers. For those who are looking for trading ideas, ours IG Client Sentiment shows the positioning of retailers with real live trades and positions. Our shopping guides bring our DailyFX quarterly forecasts and our Top Trading Opportunities; and ours news in real time there are intraday interactions from the DailyFX team. And if you're looking for real-time analysis, ours DailyFX Webinars offer numerous sessions every week where you can see how and why we see what we see.

If you are looking for educational information, ours New in FX Guide is there to help new (er) traders while ours Research on the successes of successful traders is built to help sharpen the skill set by focusing on risk and commerce management.

— Written by James Stanley, Strategist for DailyFX.com

Contact and follow James on Twitter: @JStanleyFX


Source link