The GBP/USD pair is posting the fifth bullish day in a row and is trying to expose above the strong resistance obstacle of 50-day SMA. The cable is still developing within a narrow range with upper boundary the 1.3320 key level and lower boundary the 1.3040 support barrier. The rebound on the ascending trend line the previous days helped the price to move higher and the next level to have in mind is the aforementioned upper band.

Technically, on the daily timeframe, the technical indicators are moving slightly higher. The MACD oscillator is rising in the negative territory with weak momentum and the Relative Strength Index (RSI) is is pointing to the upside above the 50 level.

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Friday, 17.11.2017, 07:46

USD/CAD Remains Above 38.2% Fibonacci Level - Neutral Bias

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The USD/CAD pair dropped sharply since the beginning of the month and we will not be surprised by the relief move to the upside. The commodity currency pair recorded two straight negative weeks, plunging more than 1%. Also, the price hit the ascending trend line that is holding over the last two months. The price printed the sixth consecutive bullish day and we are expecting further upward tendency.

The next target to have in mind is the 1.2920 resistance level, which overlaps with the 200-day SMA as well as with the 50.0% Fibonacci retracement level with high at 1.3790 and low at 1.2060. The technical indicators are confirming the recent rising momentum as the RSI indicator is pointing to the upside in the positive territory and the MACD oscillator is holding above its zero line with weak momentum.

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Friday, 17.11.2017, 07:42

EUR/USD Ready to Post Further Gains - Next Level 1.1880

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Unfortunately, the EUR/USD pair paused its aggressive buying interest as it failed to hit the 1.1880 resistance level and struggled within the 50 and 100 SMAs on the daily timeframe. The single currency exited from the narrow range 1.1575 – 1.1690 with strong movement versus the greenback but it completed the second straight bearish day. Our expectation is a return to 1.1690 and then a continuation of the upside movement. On the daily timeframe, the technical indicators seem to be in confusion. The RSI indicator is sloping to the downside on the positive territory, whilst the MACD oscillator is rising in the bearish zone.   

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Thursday, 16.11.2017, 08:17

USD/JPY Dropped Sharply Below 112.95 Critical Level

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The USD/JPY pair developed on a rollercoaster ride yesterday as it plummeted 0.6%. The greenback recorded the third bearish day in a row versus the Japanese yen and slipped beneath the 112.95 strong level. Currently, the price is approaching again the latter level whilst it is still moving beneath the 50-day SMA. The next level to have in mind to the downside is the 111.50 – 111.65 support area, which coincides with the 100-day SMA. On the other hand, if the price fails to slip lower will open the door for the 114.40 resistance level. The RSI indicator dropped below the 50 level after the sharp sell-off on price and the MACD oscillator is moving lower in the positive territory in the short-term timeframe. 

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Thursday, 16.11.2017, 07:55

AUD/USD Slipped Sharply Lower - Trend Line Is the Next Target

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The Australian dollar is posting the fifth negative week in a row versus the U.S. dollar and plummeted more than 3.8%. The AUD/USD pair slipped beneath the 50-week SMA and touched the 0.7570 support level. On a weekly basis, the price is developing within an uptrend since January of 2016 and now is posting one of its biggest sell-offs. Obviously, the commodity currency pair is moving towards the ascending trend line near the 0.7515 support level.

Going to the daily timeframe, the technical indicators are remaining in the negative area. The RSI indicator is pointing to the downside and is holding near the 30 level, whilst the MACD oscillator is strengthening its bearish attitude near the trigger line. The three simple moving averages (50, 100 and 200) are sloping south endorsing the decrease in price.

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The single currency had a strong bullish rally against the greenback over the last trading days as it added, however, it failed to end the day above the 100-SMA and posted a neutral to bearish session. On Tuesday, the EUR/USD pair recorded an upside breakout of the narrow range 1.1575 – 1.1690. Our expectation is a further extension of the upside movement until our recommended target at 1.1880. (see previous analysis here: http://bit.ly/2zYRMTr). 

The technical indicators, on the short-term chart, are endorsing the bullish thought as both are giving signals for further upside potential move. The RSI indicator entered the 50 level with strong momentum, whilst the MACD oscillator is still rising within the negative territory. The 50 and 100 SMAs are acting as strong obstacles as the price is developing between them. 

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Sterling is still holding above the short-term ascending trend line versus the greenback and managed to challenge it several times over the last two weeks. The GBP/USD pair failed to break below the diagonal line and touch the 1.3000 strong psychological level, so far. Meanwhile, the price jumped above the 100-day SMA and is moving towards the 1.3230 resistance level, which coincides with the 50-day SMA. However, if the price prints a pullback on the latter level will open the way for 1.3000. On the other hand, a run above 1.3230 will expose the cable towards 1.3320. Technical indicators are moving with weak momentum near its mid-levels and they don’t give any clear signals for the tendency on price.

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The USD/JPY pair is developing within a trading range over the last eight months with upper boundary the 114.40 resistance level and lower boundary the 108.10 support level. During September, the U.S. dollar had a bearish day below the lower band versus the Japanese yen but failed to drive the price lower and returned back to the channel. Also, the price hit several times the upper level with unsuccessful attempts for further upside movement.

Yesterday, the price printed the third consecutive bearish day and hit the 50-day SMA, which coincides with the 112.95 support level. If the price slips below it will open the way for the 111.50 – 111.65 support zone. The RSI indicator is falling and slipped below its mid-level and the MACD oscillator is moving lower in the positive path.  

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The euro had a breakout day against the U.S. dollar rising through the 1.1700 level for the first time since October. The EUR/USD pair surged more than 1% in just one trading period and jumped until the 1.1800 psychological level, creating a two-and-a-half-week high. Moreover, the price posted the fifth positive day in a row and penetrated the narrow range 1.1575 – 1.1690, while it climbed above the short-term falling trend line. The common currency pair touched the 100-day SMA and surpassed our recommended target at 1.1750 (see previous technical analysis here: http://bit.ly/2hpMDIu).

If the U.S. dollar remains under pressure in the short-term timeframe, the pair could post new gains until the 1.1880 resistance level. The technical indicators are endorsing the bullish thought as both are giving signals for further upside potential move. The RSI indicator entered the 50 level with strong momentum, whilst the MACD oscillator is still rising within the negative territory. 

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Sterling printed a slightly positive week versus the greenback, however, the GBP/USD pair is creating a negative month. The cable plummeted more than 1.3% so far this month and challenged several times the rising trend line over the last days. The next levels to have in mind is the significant support area 1.3000 – 1.3040 if the price breaks the diagonal line to the downside.

During yesterday’s trading period, the price tried to break to the downside the aforementioned obstacle but failed to end the day below it. Technically, on the daily timeframe, the price is developing well below the 50-SMA and the 100-SMA, while they are sloping to the downside. The MACD oscillator is flattening in the negative territory with weak momentum, while the RSI indicator is pointing down after the strong rebound on the 50 level.

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