Forex analysis review
Forex analysis review |
- GOLD sellers still in the game
- EUR/USD: The US dollar will get rid of the chains
- Gold under fundamental pressure
- USDJPY stuck inside a trading range.
- Short-term technical view on EURUSD for September 10, 2021.
- Ichimoku cloud indicator analysis of Gold for September 10, 2021.
- XRPUSD looks vulnerable to more downside.
- September 10, 2021 : A High probability BUY-Trade on Ethereum to be watched.
- AUD/USD Outlook on 10th September
- Gold Analysis on 10th September
- Trading signal for USD/JPY for September 10 - 13, 2021: Sell below 110.01(SMA 21)
- US stock market keeps falling lower
- Trading signal for GBP/USD for September 10 - 13, 2021: Sell below 1.3916 (4/8)
- Bitcoin: An alarming (or optimistic) sign from derivatives exchanges
- September 10, 2021 : GBP/USD Intraday technical analysis and significant key-levels.
- September 10, 2021 : EUR/USD daily technical review and trading opportunities.
- September 10, 2021 : EUR/USD Intraday technical analysis and trading plan.
- Market overview and trading recommendations
- Wave analysis of EUR/USD for September 10, 2021
- Video market update for September 10,2021
- BTC analysis for September 10,.2021 - Breakout of the bear flag in the background
- Analysis of Gold for September 10,.2021 - Bear flag in creation and potential for drop towards $1.776
- EUR/USD - Poteential for the another drop towards 1.1775
- Technical analysis recommendations of EUR/USD and GBP/USD on September 10
- Life after slump: what to happen to bitcoin in near future and conditions for asset rising
| GOLD sellers still in the game Posted: 10 Sep 2021 11:11 AM PDT
In the short term, it has increased a little but it has failed to stabilize above the 1,800 psychological level signaling strong sellers. Its failure to register an important rebound may signal a potential larger drop. Trading ConclusionGold may extend its drop if it falls below 1,784 - 1,780 area and after stabilizing under these downside obstacles. The material has been provided by InstaForex Company - www.instaforex.com |
| EUR/USD: The US dollar will get rid of the chains Posted: 10 Sep 2021 10:26 AM PDT The hawkish rhetoric of FOMC officials against the backdrop of Christine Lagarde's titanic efforts to present the moderate reduction in asset purchases under the PEPP as a recalibration of the program, rather than a withdrawal of monetary stimulus, would seem to have knocked out EUR/USD bulls. In fact, the divergence in the monetary policy of the ECB and the Fed is a significant, but not the only driver of the peak of the main currency pair. Moreover, if the dollar's strengthening is hindered by the unwillingness of the US Treasury bond yields to grow, the euro bears will carry out their attacks with an eye to the rear. No matter how they try to explain the suppressed US debt rates by the slowdown in GDP growth in the third quarter or by the Fed's unwillingness to normalize monetary policy, the matter of the issue remains. With the government debt ceiling exceeded, the Treasury is taking emergency measures and reducing borrowing. As a result, over the past 90 days, the Fed has bought more bonds than were issued in circulation. How can the yield on debt obligations grow in such conditions? Ratios of Treasury Bond Issues and FED Purchases
The situation could change dramatically in the fourth quarter, when the public debt ceiling is likely to be suspended, and the Federal Reserve will aggressively begin to reduce the volume of the $120 billion of the quantitative easing program. Bond rates will surge, the US dollar will get rid of chains, and EUR/USD will return to a downward trend. As for the ECB, a moderate reduction in asset purchases under PEPP hardly implies their fall to €50-55 billion per month. Most likely, we will talk about €60-65 billion. The European Central Bank will continue to buy up the entire net issue of bonds in the euro area, rates on them will remain low, and the euro will not be able to strengthen much. Even despite the economy, which, according to the forecasts of Christine Lagarde and her colleagues, is ready to accelerate to 5% in 2021. The second quarter was strong, and the ECB expects that the third will be the same, nodding to the high vaccination rate in the EU. Nevertheless, the example of Israel proves that the impressive figures of the vaccination campaign are not a panacea. The epidemic may still strike back in the euro area, which will change the rules of the game. Dynamics of European QE
Thus, the US dollar relies on monetary policy, while the euro counts on economic growth. Opponents have very serious trump cards in their hands, which increases the risks of medium-term consolidation of the EUR/USD. The key event of the week of September 17 will be the release of US inflation data. The acceleration in consumer prices can push the Fed to start normalizing monetary policy in November or even October. A clear "bullish" signal for the dollar, but so far its strengthening is hindered by the low yield on US Treasury bonds. Technically, the breakdown of the pivot point at 1.1845 is fraught with an increase in EUR/USD in the direction of 1.188 (the upper limit of the fair value) and 1.1915-1.1935 (a combination of pivot points). In my opinion, the potential of the upward movement is limited. On the contrary, a successful assault on the support at 1.18 will create grounds for the formation of shorts with targets at 1.175 and 1.17. EUR/USD, Daily chart
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| Gold under fundamental pressure Posted: 10 Sep 2021 09:56 AM PDT The precious metals market, without exaggeration, became the loser of 2021. At a time when stocks around the world broke record after record and brought investors impressive returns from 40% to 60% per annum, gold brought only disappointment to holders, losing about 9% YoY. This makes many investors reconsider their view of the role of gold in their portfolios. However, when deciding to exclude gold or gold mining companies from the portfolio, it should be remembered that at a distance of 20 years, gold brought investors an average return of 10% per year, but at the same time, you should also not forget that at a distance of 10 years, gold gave an increase below inflation, only 0.04% per annum. Of course, we are talking about buying gold for US dollars and other currencies, the situation is not so sad. But the fact remains that in the conditions of the modern financial model, having one of the largest liquidity among other assets and remaining one of the most manipulated goods, gold for the most part does not justify the hopes placed on it for rapid enrichment. Gold is an investment for the patient. The situation with silver is even sadder than with gold. Due to the industrial revolution of renewable energy sources, silver was given very large advances, but it is not in a hurry to work them out. Moreover, silver is closely related to gold, so it will rise and fall with it, and therefore it is unpromising to consider the silver market in isolation from the gold market. At the same time, being one of the most liquid assets in the world, gold is always present in the portfolio of a trader seeking to make money on fluctuations in its price. In the context of making decisions in the medium term - from one month to six months, taking into account the inter-market technical analysis and seasonal factors today, we will consider gold. Unfortunately, the seasonal factor does not favor the price right now. As the analysis of seasonal supply and demand for the period of 5, 10, and 20 years shows, prices peak in August and September, after which a period of seasonal decline in quotes begins until December. Then, with the onset of December, the price of gold begins to rise against the background of the celebration of the Chinese New Year. As we know, prices this year peaked in May, when gold reached the level of $1,920 per troy ounce, but then it could not develop its success, reaching prices at the level of $1,830 in August and September, which, in my opinion, shows the weakness of gold on the eve of the beginning of autumn. One of the main sources of demand for gold is the demand from exchange-traded funds ETFs, where the largest role is played by large funds from the United States and Europe, including the United Kingdom. According to the data of the World Gold Council, in August, large funds from the United States continued to sell gold (Fig. 1), which led to a decrease in quotes. At the same time, smaller funds from Europe and Asia bought gold, but against the background of massive sales in the United States, this could not support the quotes.
Fig. 1: Dynamics of purchases of exchange traded funds It is very difficult to predict the behavior of gold holders in exchange-traded assets. However, you can look at the position of traders on the CME-COMEX futures exchanges by analyzing the COT - Commitments of Traders report. Unfortunately for gold and silver, there is also nothing positive here yet. The demand for gold, the so-called Open Interest, has been at minimum values throughout the year and now amounts to only 640 thousand contracts. A little positive is added by the growth of long positions, the groups of the main buyers of Money Manager began to grow slightly from their lows. Over the past four weeks, futures purchases have increased from 123,000 to 154,000 contracts, which is almost 400 tons (Fig. 2).
Figure 2: Gold Price and Long Positions of Money Manager on CME-COMEX This may be a forerunner of price growth, but so far there are very few hopes for this, especially against the background of other factors, such as US bond yields. Talk that the Fed will soon reduce the pace of asset purchases adds opportunities for growth in the profitability of risk-free instruments. The technical analysis of the chart of 10-year Treasury bonds also signals an increase in the yield, or at least its stabilization in a narrow range between 1.3% and 1.60% (Fig. 3). As can be seen from the chart, the growth of the TNX yield from August 2020 to March 2021 had the most negative impact on the gold price. In turn, the decline in bond yields from 1.75% to 1.35% led to the slight recovery of the price of gold.
Figure 3: US Treasury Bond yields In fairness, it should be noted that there is no linear relationship between gold and bond yields, but over the past ten years, the increase in bond yields in most cases affected the price of gold negatively. At the same time, the growth of inflation also does not add positive to investors yet, but it should. In the current situation, when analyzing the price, the interaction of gold with the dollar should also be considered, since, in the medium term, the influence of the dollar on gold quotes can be quite significant. Based on this assumption, we can conclude that the growth of the EUR/USD exchange rate will be positive for gold, and vice versa - the decline of the euro will be negative. Currently, there is no certainty in the dynamics of the euro against the dollar, but a decline in the EUR/USD rate meets the interests of central banks seeking to curb inflation, so from a fundamental point of view, such a decline is quite likely.
Figure 4: The technical picture of gold price Summing up and drawing conclusions, it can be assumed that the price of gold in the future from one month to six months is more likely to decline than to grow, and in the best case, it will remain in a wide range, the upper limit of which will be the resistance of $1,840 per ounce. The lower limit of the range will be the support level of $1,720 per troy ounce, which allows traders to sell from the upper limit of the range to the targets located at $1,760 and $1,720. Mark Mobius of Mobius Capital Partners recently stated that investors should have a 10% gold content in their portfolios, based on his point of view, world currencies will depreciate in 2022 as a byproduct of COVID-related incentive packages. He believes that the devaluation will also be caused by consumer inflation. John Paulson of Paulson and Company became famous for his work during the global financial crisis when he closed short positions on subprime mortgage bonds with huge profits. When asked if gold is a good investment today, he replied: "Yes, we really [think that gold is a good investment]. The amount of gold invested is very limited. This is about several trillion dollars, and the total amount of financial assets is approaching $200 trillion. As inflation increases, people are trying to get rid of fixed income. They are trying to get out of the money. And the logical place for this is gold." Paulson is convinced that inflation will rise much higher than people expect, and in this scenario, gold will have very high results. The material has been provided by InstaForex Company - www.instaforex.com |
| USDJPY stuck inside a trading range. Posted: 10 Sep 2021 09:24 AM PDT USDJPY has been trading between 111 and 109 since June. We saw a very brief and short lived breaks outs, however the range has been intact for the last three months. There is no real movement as price mostly moves sideways.
Blue line - short-term support Red line - resistance trend line USDJPY, as can be seen in the chart above, is trading inside the black trading range. Over the last 40 days price has formed a triangle pattern with the lower boundary now at 109.75 (blue line) and the upper boundary at the red resistance trend line at 110.25. I prefer to stay neutral and wait for price to see an increase in volatility when price breaks out of the triangle pattern. Then I will accordingly try and position in favor of the breakout as this could lead to a test of the trading range boundary. Now it is not a good time from the risk reward perspective to open positions in USDJPY. Traders better stay neutral and with a waiting stance. The material has been provided by InstaForex Company - www.instaforex.com |
| Short-term technical view on EURUSD for September 10, 2021. Posted: 10 Sep 2021 09:17 AM PDT EURUSD made a high today around 1.1851. This bounce was justified as price held above the key Fibonacci support at 1.1814. Price is now turning around lower again and is now trading at 1.1819. Our previous analysis expected exactly that turnaround after the short-term bounce.
Green lines - Fibonacci retracement EURUSD has support at 1.1814-1.18. Breaking below this level is what we expect according to our previous analysis. EURUSD is expected to move closer to the next Fibonacci retracement target at the 50% level of 1.1785. Short-term trend remains bearish as price is making lower lows and lower highs. If bulls manage to defend 1.18, then we could see bulls try to reclaim 1.1850. Breaking above 1.1850 could lead to a move higher towards 1.19. The material has been provided by InstaForex Company - www.instaforex.com |
| Ichimoku cloud indicator analysis of Gold for September 10, 2021. Posted: 10 Sep 2021 09:13 AM PDT Gold price earlier today pushed briefly above the $1,800 price level. However as we mentioned in our previous analysis, the key resistance is at $1,800-$1,810 and traders should be cautious in case a rejection occurs. Price eventually got rejected and is now at $1,792.
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| XRPUSD looks vulnerable to more downside. Posted: 10 Sep 2021 09:09 AM PDT Despite making new higher highs this week, XRPUSD is now trading below last week's lows. This is a sign of weakness. Price briefly moved above the key resistance of $1.35 but bulls were not strong enough to support it. Price has turned sharply lower challenging the August lows.
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| September 10, 2021 : A High probability BUY-Trade on Ethereum to be watched. Posted: 10 Sep 2021 08:10 AM PDT
Ethereum/USD has established an extensive bullish movement since July 19. Since then, Crypto market has been quite bullish on Ethereum with new DAIlY highs being hit every now and then. Around the price level of 3333, a new high for Ethereum was established. Since then, a sideway consolidative movement has been expressed below 3333 down to 2950. In the meanwhile, an ascending bullish channel has been expressed. For three successive trials, Ethereum has failed to push below the lower limit of the depicted channel. This indicates lack of bearish persistence rendering the short-term outlook as bullish. On the other hand, Ethereum has invaded the price level of 3333 which got breached to the upside with significant bullish price action. That's why, this bullish movement was expected to pursue towards the price level of 3600 and 4000 which needed to be visited before further trading decisions could be taken. Around the price levels of 4000, Ethereum looks quite overbought while testing the upper limit of the depicted bullish channel. Hence, counter-trend traders were advised to wait for a downside pullback towards 3333 then 3188. Trading Plan: The current price zone of 3200 - 3185 stands as a prominent DEMAND-Zone to offer BULLISH pressure on Ethereum. Any signs of bullish rejection should be considered as a valid BUY Signal. T/p level to be projected towards 3333 and 3550. The material has been provided by InstaForex Company - www.instaforex.com |
| AUD/USD Outlook on 10th September Posted: 10 Sep 2021 07:24 AM PDT
The Australian dollar regained traction on Friday and bounced to three-day high, confirming initial reversal signal after Thursday's Doji candle signaled that three-day pullback from new highest in nearly two months (0.7478) lost traction. A fresh advance was underpinned by growing optimism on Biden-Xi call as two presidents discussed how to avoid the conflict that lifted the risk-sensitive Aussie. Bulls are facing strong barriers at 0.7408/11 (daily cloud base/50% retracement of 0.7478/0.7345 bear-leg). A break here would signal an end of the corrective phase and a reversal with weaker US dollar on pre-weekend profit-taking. However, risk of a recovery stall is still into play, keeping the downside vulnerable. Daily analysis reveals mixed signals as falling thickening daily cloud weighs and bullish momentum is fading, partially offsetting positive signals in bullish configuration and forming multiple bull-crosses. Expect initial direction signals on break of either 0.7345 (Sep 8 low) or 0.7408 (daily cloud base). Res: 0.7408, 0.7426, 0.7478, 0.7498. Sup: 0.7378, 0.7345, 0.7327, 0.7308. The material has been provided by InstaForex Company - www.instaforex.com |
| Gold Analysis on 10th September Posted: 10 Sep 2021 07:20 AM PDT
The yellow metal's price passed the resistance of the 1,800.00 level on Friday morning. The 1,800.00 kept the price from surging since early September 8. However, the price almost immediately encountered resistance near 1,808.00. In the case that the price passes the critical resistance level at 1,808, the bullion could test the resistance of the 200-hour SMA at 1,809.50. Above the 200-hour SMA, the summer high levels at 1,830.00/1,835.00 might once again serve as resistance. However, a bounce off from resistance would possibly look for support at 1,795.00. Below the support zone, which is just below 1,785.00, the price might find some support. The material has been provided by InstaForex Company - www.instaforex.com |
| Trading signal for USD/JPY for September 10 - 13, 2021: Sell below 110.01(SMA 21) Posted: 10 Sep 2021 07:16 AM PDT
Since August 20, the USD / JPY pair has been trapped within a price range between 110.40 and 109.40. From those levels, a slightly upward channel has been formed. The probability of a downward movement in the next few days increases since the price is below the SMA of 21. Yesterday, the Japanese yen touched the lower border of the range channel, around 109.60. At that level, the pair has been rebounding until it finds resistance at the 200 EMA located at 109.85. Since it is now located in a resistance zone, a bearish move is likely to follow below the psychological level of 110.01. A confirmation above 110.40 would enable a bullish extension, so the price could rise to the August 11 high of 110.79, and a little higher at 110.93 which is the 4/8 murray line. This is a key level of strong resistance and it will be a good selling point. On the contrary, a break below 109.60, the lower border of the range, will be a good opportunity to sell with targets at 109.37. If the downward pressure prevails. the price could fall to the -1/8 murray line located at 108.98. As long as the Japanese Yen continues to move within the price range channel between 110.40 and 109.60, we can buy at the support channel and sell at the top of the channel. Besides, the 200 EMA and the 21 SMA could exert some downward pressure. A good solution would be to sell below the SMA of 21 or wait for a pullback towards 110.40, with targets at 109.60. We should avoid selling above 110.40. The eagle indicator is showing a bearish signal. Support and Resistance Levels for September 10 - 13, 2021 Resistance (3) 110.72 Resistance (2) 110.49 Resistance (1) 110.20 ---------------------------- Support (1) 109.41 Support (2) 109.18 Support (3) 109.05 *********************************************************** Trading tip for USD/JPY for September 10 - 13, 2021 Sell if there is a pullback at 110.01 or sell below 109.85 (EMA 200), with take profit at 109.60 and 109.41, stop loss above 110.40. The material has been provided by InstaForex Company - www.instaforex.com |
| US stock market keeps falling lower Posted: 10 Sep 2021 07:03 AM PDT
Thursday was another day of losses for US stock indices. The Dow Jones Industrial Average was down by 0.43%, the S&P 500 Index declined by 0.46%, and the NASDAQ Composite Index fell by 0.25%. The companies that produce consumer goods and medical supplies were hit the most. Investor sentiment is again determined by a surge in the number of new coronavirus cases and a slowdown in economic recovery. Statistical data has indicated a slowdown in the US economic growth. For example, this summer, consumers cut their spending and travelled and went out less than usual. At the same time, companies experienced disruption to supply and a shortage of human resources. Still, the data from the US labor market was more optimistic: a lower unemployment rate encouraged traders. Thus, the number of new jobless claims fell by 35,000 to 310,000. At the same time, analysts predicted a higher number of 335,000. This trend has been observed since mid-July and indicates that companies value employees and want to avoid staff turnover. Some analysts predict that US GDP has increased for the past quarter, while others lower their expectations for GDP growth. Investors are still waiting for the Fed to signal the timelines when it is going to cut the QE program. Most experts assume that the regulator may start cutting asset purchases this year as the country's economy is still on track to recovery. However, it is still unclear whether Fed officials are ready to make this decision at the upcoming meeting this month. Among the Dow Jones components, the biggest gains were posted by Nike Inc., Boeing Co., and JPMorgan Chase & Co. Their shares rose by 1.6%, 1.2%, and 0.4% respectively. Amgen (-2.4%), Johnson & Johnson, Merck & Co. Inc. (-2%), and 3M Co. (-1.1%) were the ones with the worst results. On NASDAQ exchange, Lululemon Athletica gained 10.5% on the back of its second-quarter earnings growth. At the same time, the shares of Cisco Systems Inc. fell by 0.1% after analysts had downgraded their forecasts for the company. Xerox Holdings announced its move from the New York to NASDAQ stock exchange which resulted in a 0.2% increase in share prices. China has tightened government regulation for online game platforms. The authorities will limit the time that minors can spend on gaming websites. Companies will face rigorous scrutiny and harsh penalties for failing to comply with regulatory requirements. As a result, the securities of the largest companies in this area fell in price: NetEase Inc. lost 2.1%, Bilibili Inc. dropped by - 2.3%, and Alibaba Group Holding went down by - 2%. It should be noted that the Hang Seng Index also showed a significant decrease on Thursday of 2.3%, while the European composite index STOXX Europe 600 declined by only 0.1%. The material has been provided by InstaForex Company - www.instaforex.com |
| Trading signal for GBP/USD for September 10 - 13, 2021: Sell below 1.3916 (4/8) Posted: 10 Sep 2021 06:19 AM PDT
The GBP / USD pair is trading close to the high reached on Friday last week around 1.3884. This is its second consecutive rise, but the pair could be reaching overbought levels again as the eagle indicator is approaching 95, points. The pound sterling asserts strength due to the weakness of the US dollar. In daily charts, the pair has not been able to climb over the moving average of 21, so it falling below this level. In addition to this, the UK Gross Domestic Product showed a modest 0.1% uptick on month, well below the previous 1% and the 0.6% expected. On a positive note, industrial production increased 3.8% YoY and 1.2% MoM, better than anticipated. The British pound is located above the SMA of 21 and above the EMA of 200. Now it is approaching the strong resistance of 1.3916. This level will be a barrier for the pair. If it fails to consolidate above this zone, there will be a good opportunity to sell with targets at 1.3855 and 1.3805 (200 EMA). On the contrary, in case of a consolidation above 1.3916, the British pound can have as its next target in the resistance zone of 1.4038. There is the line of 6/8 murray that also represents a psychological level. According to the chart, our outlook will continue to be bearish as long as the trading instrument remains or trades below 4/8 of murray, so we can sell, since the eagle indicator is showing a bearish signal. If the GBP / USD pair consolidates above 1.3916, we must avoid selling. Support and Resistance Levels for September 10 - 13, 2021 Resistance (3) 1.3986 Resistance (2) 1.3920 Resistance (1) 1.3875 ---------------------------- Support (1) 1.3815 Support (2) 1.3768 Support (3) 1.3705 *********************************************************** Trading tip for GBP/USD for September 10 - 13, 2021 Sell if there is a pullback at 1.3916 or sell below 1.3885 (double top), with take profit at 1.3855 and 1.3805 (EMA 200), stop loss above 1.3916. The material has been provided by InstaForex Company - www.instaforex.com |
| Bitcoin: An alarming (or optimistic) sign from derivatives exchanges Posted: 10 Sep 2021 06:02 AM PDT According to CryptoQuant, bitcoins are seen moving from their main addresses to derivatives exchanges. The CEO of the company suggested that the reason for the migration of coins could be filling the margin or opening new positions. The rapid growth in the exchange inflow of bitcoins from large exchange wallets can be a wake-up call for market participants. Often, such movements from the spot market to the derivatives exchange served as a sell signal. Traders usually hold their funds on exchanges during periods when they are preparing to sell bitcoin. But now the CEO of CryptoQuant has suggested a different version. He believes that some bitcoin holders may start to open new long positions or fund their previous positions, which were close to liquidation amid the recent fall of the main cryptocurrency. He also added that most of the time these wallets were transferring funds to exchanges, they accumulated large volumes of bitcoins, which led to a sharp increase in prices. Earlier, the increase in inflows of derivatives was observed in October, just before the start of the last major bullish round last year, in which bitcoin rose from $10,000 to $60,000. The reason for such a strong rise in prices then was positions with a high proportion of leveraged funds. To generate significant increases in market volatility, most positions must be funded by derivatives exchanges that provide high margins for traders. Does this mean that the market can quickly feel the effect of such a bitcoin migration? Probably not, as the volumes being moved are too large to be executed immediately. Meanwhile, locally, since yesterday, there was no clarity regarding the direction of bitcoin. The technical picture has hardly changed. Bitcoin closed with a growing candlestick with long shadows, but below the support level of the side channel 46,299.48 - 50,513.53. Friday's daily candle looks almost the same so far. This means that Thursday's forecast remains valid. If the price does not return to the channel above the level of 46,299.48, it means that the downward correction is likely to continue. The targets for the fall of BTC/USD will first be the red dotted support at 44,807.24, and if this level is broken, the price will go even lower to the strong mirror level of 41,980.24.
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| September 10, 2021 : GBP/USD Intraday technical analysis and significant key-levels. Posted: 10 Sep 2021 05:42 AM PDT
Since March, the GBPUSD pair has been moving sideways within a wide consolidation range extending between 1.3670 up to 1.4250 which acted as a prominent SUPPLY that prevented further bullish advancement. On the other hand , the GBPUSD pair has been contained above the demand level of (1.3660) a few times while Bearish breakout below 1.3600 was needed to enhance further bearish decline. Recently, Failure to maintain bearish pressure below 1.3670 (100% Fibonacci Level) has enhanced another bullish movement for retesting of the price level of 1.3880. Further bullish advancement was to be expected towards 1.4025. On the other hand, the nearest SUPPLY level is located around 1.4025 where bearish rejection and a valid SELL Entry should be anticipated. That's why, the pair remained trapped between the mentioned key-levels (1.3800 and 1.4025) until recent temporary bearish breakout occurred last week. Bearish breakout below 1.3800 enabled temporary bearish decline towards 1.3600 while the price level of 1.3520 was expected to be reached if sufficient bearish pressure was maintained. Unfortunately, this seemed to be a bearish trap. Immediate bullish rejection brought the pair back above 1.3800. The recent bullish rejection witnessed around 1.3600 as well as the anticipated bullish breakout above 1.3880 will indicate this bullish movement to pursu towards 1.4025 then 1.4100. The material has been provided by InstaForex Company - www.instaforex.com |
| September 10, 2021 : EUR/USD daily technical review and trading opportunities. Posted: 10 Sep 2021 05:33 AM PDT
Recently, Persistence below the depicted price zone of 1.1990 indicated further downside movement towards 1.1840 and 1.1780 where a sideway consolidation range was established. During last week, the EURUSD pair has been trapped within a narrow consolidation range between the price levels of 1.1780 and 1.1840. A bullish breakout was executed above 1.1840 shortly after. Temporary Upside pullback was expected towards 1.1990. However, re-closure below the price level of 1.1840 has initiated another downside movement towards 1.1780 which failed to hold prices for a short period of time before significant upside movement was presented into market. Intraday traders were advised to wait for candlestick closure above 1.1780 - 1.1840 for another ascending swing to be initiated. This has just happened a few days ago. Currently, the price zone around 1.1840 remains a prominent demand-zone to be watched for BUYING pressure and a possible BUY Entry. Initial targets are expected to be projected towards 1.1910 and 1.1990. S/L should be placed below the next demand zone at 1.1780. The material has been provided by InstaForex Company - www.instaforex.com |
| September 10, 2021 : EUR/USD Intraday technical analysis and trading plan. Posted: 10 Sep 2021 05:31 AM PDT
Bearish persistence below the price zone of 1.2050-1.2000 allowed the current short-term downtrend to be established. Initial bearish targets were located around 1.1940 then 1.1800 which offered some bullish rejection for sometime before another bearish movement could take place towards 1.1770 and 1.1700. So, the EURUSD pair has been moving downwards within the depicted bearish channel while the price level of 1.1780 stood as a prominent demand level that prevented further bearish decline. The bullish pressure that originated around 1.1780 failed to push higher than the price level of 1.1900. That's why, another bearish pullback towards 1.1700 was being executed. Bullish signs were expected around the current price levels of 1.1700-1.1730 as it corresponded to the backside of the broken channel. A bullish reversal pattern similar to double-bottom seems to be in progress. That's why, Bullish breakout above 1.1830 (pattern neckline) is still needed to enhance the bullish side of the market and enable further bullish advancement towards 1.1900 and 1.1970. Any upcoming bullish pullback towards 1.1985 should be considered for bearish rejection and a valid SELL Entry. The material has been provided by InstaForex Company - www.instaforex.com |
| Market overview and trading recommendations Posted: 10 Sep 2021 04:42 AM PDT Trading recommendations GOLD is likely to fall to 1,780 or even 1,675. The material has been provided by InstaForex Company - www.instaforex.com |
| Wave analysis of EUR/USD for September 10, 2021 Posted: 10 Sep 2021 04:33 AM PDT EUR/USD, H1:
We see that the bulls continue to push the price up. Most likely, the market has formed the first two small subwaves (1) and (2), which marked the beginning of a five-wave impulse. Wave (1) has an impulsive structure and consists of subwaves 1-2-3-4-5. Downward wave (2) is a correction that took the form of a double combination W-X-Y. After the completion of the decline in correction (2), we saw a price reversal and the beginning of its growth, which may indicate the beginning of a subwave (3). Usually, in impulses, the third subwaves are the most powerful, therefore, in the coming trading days, an active growth of the currency pair is expected above the maximum of 1.1909. In the current situation, it is recommended to consider opening buy deals in order to take profit at the maximum of 1.1909. The next review will be published on Monday. The material has been provided by InstaForex Company - www.instaforex.com |
| Video market update for September 10,2021 Posted: 10 Sep 2021 04:22 AM PDT Watch for the downside opportunities... The material has been provided by InstaForex Company - www.instaforex.com |
| BTC analysis for September 10,.2021 - Breakout of the bear flag in the background Posted: 10 Sep 2021 04:22 AM PDT Technical analysis:
BTC started the breakdown of the bear flag pattern and I see potential for the downside continuation. Trading recommendation: Due to the breakout of the bear flag pattern and due to strong downside cycle, watch for selling opportunities on the rallies. Main downside target is set at the price of $43,300 The material has been provided by InstaForex Company - www.instaforex.com |
| Posted: 10 Sep 2021 04:18 AM PDT Technical analysis:
Gold has been trading upside in last 24 hours but I see more downside potential and potential for test of $1,776and $1,760 Trading recommendation: Dee to the downside trend in the background and bear flag pattern in creation, watch for selling opportunities on the intraday rallies. Downside targets are set at $1,776and $1,760 Stochastic oscillator is showing bear potential and extreme reading on hourly and 4H time frame. The material has been provided by InstaForex Company - www.instaforex.com |
| EUR/USD - Poteential for the another drop towards 1.1775 Posted: 10 Sep 2021 04:14 AM PDT Technical analysis:
EUR/USD has been trading downside and I see further bear continuation towards 1,1800 nad 1,1775 Trading recommendation: Due to downside trade and bear flag pattern in creation, watch for selling opportunities on the rallies. Downside targets are set at the price of 1,1800 and 1,1775 Stochastic showed fresh bear cross, which is another indication for the downside movement. The material has been provided by InstaForex Company - www.instaforex.com |
| Technical analysis recommendations of EUR/USD and GBP/USD on September 10 Posted: 10 Sep 2021 03:45 AM PDT EUR/USD
The pair spent the last day in the attraction zone of the encountered supports of the daily timeframe, but neither the bears nor the bears managed to achieve results. The bears failed to break through the support level of 1.1815 (daily Fibo Kijun), while the bulls cannot go beyond the limits, staying in their attraction and influence zone located at 1.1834-52 (the lower border daily cloud and short-term trend). The next upward target is still at 1.1894 (weekly Fibo Kijun), and the nearest new support is set at 1.1787 (daily mid-term trend + weekly short-term). The week will be closed today. There is still no great clarity to assess the results and prospects.
The lateral correction continues in the smaller time frames. The central pivot level (1.1823) has been the center of attraction for more than a day. A movement above the level gives preference to strengthen the bullish mood. The main pivot point here is now the weekly long-term trend (1.1849). Today, it is combined with the daily levels (1.1834-52), so a breakdown and consolidation above these borders can affect the balance of power not only on the hourly time frame but also on the higher ones. As for the bears, the intraday targets are the support of the classic pivot levels (1.1806 - 1.1787 - 1.1770), which are also strengthening at higher intervals. GBP/USD
Yesterday, the bulls managed to confirm the pullback formed on Wednesday. Due to this, we are currently seeing a second attempt to test the important resistance zone of 1.3830-48 (weekly Fibo Kijun + monthly Tenkan). A successful breakdown of these levels will return the relevance to the following upward targets - 1.3910 (upper border of the daily cloud + weekly medium-term trend) - 1.3958 (upper border of the monthly cloud) - 1.3989 (the final border of the weekly dead cross of Ichimoku).
The advantages in the smaller time frames provided by the support of all analyzed instruments went to the bullish side. The upward movement is developing. The classic pivot levels (1.3880 - 1.3925 - 1.3989) can serve as upward pivot points. Today, the key H1 levels act as supports and join forces at 1.3815 (central pivot level + weekly long-term trend). Their breakdown can change the current balance of power again. Meanwhile, the supports of the classic pivot levels are now set at 1.3771 - 1.3707 - 1.3662. *** Ichimoku Kinko Hyo (9.26.52) and Kijun-sen levels in the higher time frames, as well as classic Pivot Points and Moving Average (120) on the H1 chart, are used in the technical analysis of the trading instruments. The material has been provided by InstaForex Company - www.instaforex.com |
| Life after slump: what to happen to bitcoin in near future and conditions for asset rising Posted: 10 Sep 2021 03:39 AM PDT The cryptocurrency market was half a step away from launching a full-fledged bullish trend. The main coins were climbing or already consolidated above the final resistance points, but due to a number of factors there was a powerful slump of more than $300 billion. The main cryptocurrency made the biggest loss. It leveled all the recent week's achievements and on September 10 was again near $46,00. It is extremely difficult to track the exact dynamics of BTC movement in the near future, but certain options exist. First of all, it is worth considering the probable causes of the stock market crash to predict bitcoin's further movement. Prerequisites for a likely bubble existed in the altcoin market, and analysts from JPMorgan admitted it. Moreover, there was a peculiar correlation of all deflationary assets. The consolidation of the dollar by 0.2% against major reserve currencies contributed to this fact. These two major factors triggered a sales spiral in the market, which continued to knock investors out and further caused panic among the retail audience. The fall was also exacerbated by a large percentage of algorithms that either joined the fall or took profits, putting pressure on coin prices. As a result, bitcoin plunged 16% and hit a local low, after which it managed to rebound to the support zone at $46,000. The most likely scenario for further bitcoin movement is local sideways, further consolidation, accumulation and resumption of upward movement. The period of sideways movement may last from one to several weeks. This is due to the fact that retailers left the market en masse during the crash, leaving behind a strong pressure on the price. At the same time, the whales took the fall of the price calmly, but they will need some time to buy back the available volumes. This is also evidenced by the technical indicators of the coin on the daily chart. The RSI index is moving along the 40 mark, the stochastic has managed to move sideways and the MACD is showing some weakening, which will be leveled out by the gradual buying of the offered volumes.
Besides, the future of bitcoin may be influenced by the next US Federal Reserve meeting. The regulator is not planning to raise the key rate, but may provide some theses. The cryptocurrency market was half a step away from launching a full-fledged bullish trend. The major coins were climbing or already settled above the final resistance points, but due to a series of factors there was a powerful slump of more than $300 million. The main cryptocurrency made the biggest loss. It leveled all the recent week's achievements and on September 10 was again near $46,00. It is extremely difficult to trace the exact dynamics of BTC movement in the near future, but certain variants exist. The danger of this variant lies in the retail audience's reaction. Social activity and appeals to buy bitcoins at the bottom continue to gain popularity, which may cause big problems for retailers. If the trend continues and trading volumes start rising, the whales may locally change strategy and try to play the downside. This would set the market back a few more weeks. Moreover, the next Federal Reserve meeting may affect the future of bitcoin. The regulator is not planning to raise the key rate, but may provide some theses about the tightening of monetary policy. This news is likely to have a positive effect on the cryptocurrency market. Inflation continues to rise, and it will be highly profitable for BTC. These two factors can give an advantage to bitcoin quotes, as well they may result in a loss. If we assess the situation in detail, the coin in the near future may test two important resistance zones. The first one is located at $46,500, which is the intraday resistance threshold. With its bullish breakdown, the asset will move further to $48,000. At the weekend, the market pressure will weaken and the bulls have a chance to reach $50,000. This level is still considered the key zone, after which the bullish trend will intensify. By leaving the $50,000-$52,000 range, bitcoin will continue moving towards $58,000, where the next important stop will be the all-time high.
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At the moment of writing, gold was dropping. It seemed determined to resume its downside movement. The level of 1,784.57 is seen as a support level, a downside obstacle. I've mentioned in a previous analysis that XAU/USD could register a broader downside movement if it drops below 1,784.57 former low.
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