Technical Analysis

The FOREX markets are quiet in the Asia-Pacific session. Japan is on holiday contributing to the lackluster price action. Yesterday’s US CPI data whipped traders around as well as the initial reaction was to the downside in the greenback, and then reversed back to the upside with the rise in US rates However in the

The strongest to the weakest of the major currencies The EUR and CHF are neck-and-neck for the strongest of the major currencies, while the JPY is the weakest. The USD initially moved lower after the CPI data, but quickly snapped back to the upside. The EURUSD erased all pre-release gains on the day. The GBPUSD

The USDJPY is ticking to a new high and is up for the 3rd consecutive day. In the process, the price is extending above a key swing area between 143.44 to 143.54. That area will now be a close risk level for traders going forward. Stay above is more bullish. Move below and we should

If you are serious about trading, key economic releases like the US CPI data provide an opportunity after the fact. They provide a more risky opportunity before the fact. Risk focuses traders will therefore look at the price action and tools applied to that price action and define levels that will increase the bullish bias

Bitcoin continues to surprise as it remains resilient to many headwinds. Yesterday we even saw a big rally after some banking woes, which resembled the bullish reaction following the regional banking crisis seen in March. Looks like Bitcoin is the go-to asset in case we see more troubles in the banking sector. Anyway, the price

The USDJPY moved sharply higher yesterday in the Asian session and ran into a resistance target between 143.44 and 143.54. In fact the high prices yesterday came in at 143.432, 143.485 and 143.45. The pattern is to have sellers against that swing area. However, I would expect that if the 143.54 level is broken, the

Last week, the NFP missed expectations for a second time in a row and the previous numbers were all revised lower. This was seen as a disappointment as the labour market seems to be a touch weaker than previously expected. Nevertheless, the unemployment rate fell once again and lessened the disappointment from the miss in

Canada was on holiday on Monday, but that did not stop the pair from moving up to test its 100-day moving average. The level came in at 1.3398 and the high price for the day reached up to 1.3398. Willing sellers against the technical level put a lid on the pair and the price rotated

Last week, the NFP missed expectations for a second time in a row and the previous numbers were all revised lower. This was seen as a disappointment as the labour market seems to be a touch weaker than previously expected. Nonetheless, the unemployment rate fell once again and lessened the disappointment from the miss in

The USDJPY is off to a quiet start and little changed in early Asian-Pacific trading. The current price for the USDJPY trades around 141.82. That puts the price still above its 200-hour moving average (green line in the chart below) at 141.686. Just below that is a 38.2% retracement of the move up from the

GBPUSD tests a key swing area, moving average, retracement The GBPUSD is testing – well now breaking above – a key target area defined by the 100-hour moving average at 1.2756 and the 38.2% retracement of the move down from the July 27 high at 1.27628. A swing area between 1.2738 and 1.2759 (see red

EURUSD on the hourly chart The EURUSD dipped lower as popost-jobsolatility takes over. The technical’s are also in play in the EURUSD pair. The run to the upside today was able to extend above its 200 hour moving average and 38.2% retracement of the move down from last week’s high at 1.1002. The break that

The GBPUSD is higher on the day and in the short term, the buyers are “in play”. Trading above the 100 hour MA tilts the bias in that direction but there is work to do. Looking at the daily chart, the technical picture is more in the buyer’s favor. What I like about it technically,

The EURUSD wandered lower this week and in the process dipped below the 50% midpoint of the range since the 2021 high on the daily chart at 1.0942. What the price in the EURUSD could not do is stay below the rising 100-day moving average currently at 1.09193. That moving average was tested on Wednesday

Last week, the Fed hiked the interest rates by 25 bps as widely expected keeping everything unchanged. Fed Chair Powell reiterated their data dependency and kept all the options on the table. The economic data since the FOMC meeting has been pretty solid and the labour market indicators keep on running hot. This week we

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The UK CPI missed expectations across the board and triggered a big repricing in interest rates expectations. In fact, the market was pricing a higher chance of a 50 bps hike prior to the report given the higher wages data in the previous UK employment report. Now, the market sees a higher chance that the

EURUSD holds support at the 100 day MA AGAIN The EURUSD has been stepping down today, and the focus for the pair was looking at its 100-day moving average (blue line currently at 1.09132). Recall that back in early July, the price approached that moving average on July 6 and found willing buyers (see chart