EUR/TRY 4H Chart: Channel Down
Comment: Despite a massive sell-off amid Draghi’s press conference yesterday, EUR/TRY managed to stay within the boundaries of the channel. At the moment the currency pair is trading right at the lower trend-line, meaning we should see a rally in the near term. The bullish correction is likely to result in a test of the monthly S1 at 3.2739, but the recovery may extend up to the falling trend-line without threatening the overall negative outlook. Even if the price closes above 3.3158, there is a cluster of resistances around 3.37 (Oct 14 high, monthly PP, 200-period SMA) that the pair should have trouble eroding. Our main target is the August low at 3.02.
GBP/JPY 4H Chart: Channel Up
Comment: There is a bullish channel emerging in the hourly chart of GBP/JPY. In the short run, however, the pair may face difficulties advancing beyond 186.40, where the rising resistance line merges with the monthly R1. Accordingly, we expect a decline back to 184.20 or possibly to 183.50 before the bulls regain control of the market. A close above 186.40 will imply further recovery, potentially up to the September high at 188.40. At the same time, if the pair breaches support at 183.50, the price will be expected to keep sliding lower until it hits 180.50, namely the last month’s minimum. The SWFX traders’ sentiment is strongly bullish: 70% of positions are long.
This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.
Recommended Content
Editors’ Picks
AUD/USD: The hunt for the 0.7000 hurdle
AUD/USD quickly left behind Wednesday’s strong pullback and rose markedly past the 0.6900 barrier on Thursday, boosted by news of fresh stimulus in China as well as renewed weakness in the US Dollar.
EUR/USD refocuses its attention to 1.1200 and above
Rising appetite for the risk-associated assets, the offered stance in the Greenback and Chinese stimulus all contributed to the resurgence of the upside momentum in EUR/USD, which managed to retest the 1.1190 zone on Thursday.
Gold holding at higher ground at around $2,670
Gold breaks to new high of $2,673 on Thursday. Falling interest rates globally, intensifying geopolitical conflicts and heightened Fed easing bets are the main factors.
Bitcoin displays bullish signals amid supportive macroeconomic developments and growing institutional demand
Bitcoin (BTC) trades slightly up, around $64,000 on Thursday, following a rejection from the upper consolidation level of $64,700 the previous day. BTC’s price has been consolidating between $62,000 and $64,700 for the past week.
RBA widely expected to keep key interest rate unchanged amid persisting price pressures
The Reserve Bank of Australia is likely to continue bucking the trend adopted by major central banks of the dovish policy pivot, opting to maintain the policy for the seventh consecutive meeting on Tuesday.
Five best Forex brokers in 2024
VERIFIED Choosing the best Forex broker in 2024 requires careful consideration of certain essential factors. With the wide array of options available, it is crucial to find a broker that aligns with your trading style, experience level, and financial goals.